Meme token traders remain active, but only a few are profitable. Over the past 90 days, meme tokens have primarily attracted profit from the crypto space.
According to statistics, only 6.25% of traders holding meme tokens have been profitable over the last 90 days. A new dashboard monitoring Solana meme traders shows that most of them are losing money.
Over the past 90 days, on active Solana DEXs worked . Among them, only 19,003 made a profit, but the average trader lost $120. 304,161 traders
The biggest problem for meme token traders is the overall loss of value. According to on-chain research, meme token traders have collectively lost $1.26 billion in realized value. Of all profitable traders, 88% made less than $100.
The metrics track realized profit and loss, not paper token value. In most cases, meme tokens have low liquidity, even if their market capitalization is high.
Only 25 Solana Meme Traders Earned Over $10,000
Only 25 wallets earned more than $10,000, indicating that the meme space has lost its ability to generate high profits and has instead turned into a P2P-attracting market.
The current profitability of meme tokens is even lower compared to betting or prediction platforms, or even regular speculative crypto trading. Despite this, the meme token model remains attractive due to incentives like copy trading, influencer tokens, and points farming.
The meme model has also changed: very few memes have longevity. New memes have an extremely short lifecycle and do not aim to build a community.
Meme-related activity has also pushed Pump.fun into the top three by fee volume. As of August 19th, the platform generates over $4.4 million in daily fees, the highest since January.
Meme Tokens Persist Despite Loss Risks
Despite the overall slowdown in the crypto market, meme tokens remain one of the viable models. The reason is that meme launches occur entirely on-chain, free from the constraints and expectations of centralized exchange listings.
On-chain token creation also partially solves the problem of inflated prices for selected tokens created by market makers. Meme tokens with new applications allow for instant connection to the system. New users also bypass BTC and blue-chip tokens, which are now closer to traditional financial instruments.
Robinhood increased its meme token usage by offering quick launches. Up to 51% of activity on Robinhood was related to meme tokens. As of August 19th, the trend is starting to shift, and Robinhood memes lost 10% of their value overnight, with losses over the past week exceeding 30%
Another factor contributing to meme activity growth was the launch of the FOMO app, which saw another wave of widespread adoption. The app attracted many newcomers just starting to explore meme trading, leading to almost immediate losses. The social trading feature in the FOMO app allowed users to copy influencer trades, leading to inflated valuations for a number of memes.
Meme tokens also attract new users through the latest platform launched by crypto influencer Ansem. In this case, platform usage is incentivized by airdrops, although the trading itself can lead to similar losses. As on other launchpads, users wait for new entrants while incurring losses in more than 99% of meme token launches.
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