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Solana Memecoin Pre-Sales Fallout
In recent weeks, the Solana blockchain ecosystem has been rocked by the fallout from memecoin pre-sales, with investors losing over $25 million due to more than 50% of the top projects being abandoned, some without even launching a token. Solana Co-Founder Anatoly Yakovenko has expressed his skepticism regarding this trend, stating, “Pre-selling a meme doesn’t make any sense to begin with.” Yakovenko went as far as urging users to refrain from investing in memecoin pre-sales after sharing data on the top 22 projects that collectively raised over $100 million.
Abandoned Projects and Losses
An analysis by ZachXBT has revealed that out of the 22 projects, 12 have already been abandoned within just one month. These deserted projects include LIKE, MOONKE, FROG, TEMPLE, and SORRY, which managed to raise over $2 million. The remaining projects collected amounts ranging from $1.4 million to $180,000, with one particular user, @Jared_eth, raising approximately $800,000 without ever launching a token. It is important to note that @Jared_eth’s account has been flagged as compromised by the web3 security platform Pocket Universe.
Shift to Coinbase-backed Base Blockchain
Following the turmoil within the Solana ecosystem, the memecoin frenzy has shifted to the Base blockchain, which is backed by Coinbase. ZachXBT has noted that the same patterns of investment and abandonment are now repeating on Base, indicating that lessons may not have been learned from the Solana saga.
Market Impact on SOL
The repercussions of the memecoin debacle have been felt in the SOL token’s price, which saw a significant drop from over $200 during the peak of the memecoin hype. As of the latest data, SOL is trading at $154, marking a 23% decline. Despite the recent dip, SOL has managed to recover approximately 30% from its recent low of $117 on April 13.
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