Memecoins are an unavoidable theme in 2024. Classic meme coins like Dogecoin and Shiba Inu have seen average increases of over 5 times in 2024, while emerging meme coins like MooDeng and PNUT have achieved investment returns as high as hundreds of times. The overproduction of tokens and high circulation and valuation of VC coins have made this bull market a non-reciprocal market. Therefore, Memecoins have performed exceptionally active in this round, becoming indicators of on-chain liquidity, whistleblowers of new narratives, and thermometers of market sentiment.
This year, we have witnessed the process of Memecoins transitioning from fervent speculation to gradually entering mainstream culture and consensus effect, leading to great wealth transfers. During this process, issuance methods have been continuously innovating, asset types have been rapidly changing, and mainstream acceptance and adoption have driven its vigorous development. Each transformation conceals opportunities for a hundredfold or thousandfold wealth. Looking back at the 2024 Memecoin super cycle, let us witness the changes and opportunities of this year together.
Infrastructure is becoming increasingly complete
The prosperity of this round of Memecoin super cycle is inseparable from the continuous improvement of infrastructure. Whether it is the innovation of B-end underlying issuance methods or the optimization of C-end user experience, both provide conditions for the rapid influx of funds and the rapid expansion of users in Memecoins.
Innovation in issuance methods
Traditional Memecoin issuance methods are similar to ordinary tokens, while Memecoins, as attention economy, experience rapid changes in market hotspots. However, the asset issuance cycle is currently long and complex; user preferences and speculative rhythms on major public chains vary. This makes it difficult for market attention and liquidity to concentrate, and rapidly boosting asset prices within a short period is challenging.
PUMP.FUN: The core engine of the super cycle
This year's cash influx frenzy triggered by BOME and SLERF, while its presale model has changed its issuance method to some extent, attracting market attention. However, cash pools have frequently experienced RUG pulls, and the aforementioned issues have not been effectively addressed. The emergence of PUMP.FUN has effectively resolved this situation, beginning a shortening of the Memecoin issuance cycle, with capital continuously circulating and users gradually concentrating, laying the foundation for the start of the Memecoin super cycle.
PUMP.FUN was created by founder Alon in January 2024, but it gained little attention until April when it gradually entered the public eye. It has now issued nearly 5 million Memecoins, accounting for nearly 70% of Solana's daily token issuance, becoming the highest-earning protocol on Solana. As the engine of the Memecoin super cycle, optimizing the asset issuance method is its core advantage. It allows users to create tokens without any technical knowledge (after the August update, there is no need to pay a $2 creation fee), and fair fundraising within the platform + a reasonable price curve (Bonding Curve) successfully reduces the cost of asset issuance while increasing the speed of asset issuance, which effectively solves the problem of rapid speculative capital not being able to concentrate on Memecoin hotspots in the current market.
Furthermore, the success of PUMP.FUN is not only due to innovative mechanisms. Its user positioning and product design are also excellent. From the user's perspective, it addresses the real problems faced by most people in the Web3 market: 'Users want a simpler, quicker, and lower-cost way to obtain higher multiples of returns.' From the product's perspective, it is one of the few projects with a complete business loop, with clear and traceable profit sources (1% trading fee on the platform before going live on Raydium, and 6 SOL 'listing fee' during the Raydium packaging process).
Currently, according to Dune data, as of December 23, PUMP.FUN has deployed nearly 5 million Memecoins since its launch, with daily active users reaching up to 300,000 and daily new addresses reaching 170,000. According to DefiLlama data, PUMP.FUN's protocol income has reached a maximum of $94 million in the past 30 days, with cumulative protocol income nearing $300 million.
PUMP.FUN has seen frequent clones and continuous micro-innovations
PUMP.FUN initiated this round of Memecoin super cycle, and the subsequent continuous clones have made the super cycle even more prosperous.
Sun.pump: Memecoin Launchpad becomes the fifth item of public chains
A large influx of capital and market attention has led various public chains to launch PUMP.FUN clones, making Memecoin Launchpad a standard fifth item for public chains.
Major public chain ecosystems are increasingly supporting Memecoins across upstream, midstream, and downstream. Platforms like Four.meme and Flap on BSC attract market attention through continuous activities and collaborations; on the Base chain, platforms like Ape.Store, Rug.fun, and Trugly.meme attract users through various gameplay; on BTC Layer 2, numerous clones have emerged, such as LnPUMP.FUN, SatsPUMP.FUN, and CPUMP.FUN. Meanwhile, Sun.pump on the Tron chain has driven the 'revival' of the entire Tron chain by 'itself'. In a short time, hot money surged on the Tron chain, quickly gaining attention, and its on-chain Gas soared, with the long-dormant TRX price reaching a near three-year high. However, after that, TRX has been on a downward trend, currently falling back to 0.24 USDT.
Watching him build a high-rise, watching it collapse. Memecoins, as a quick traffic entrance to attract users, can bring a wave of dividends to public chains, but how to undertake ecological construction is worth contemplating.
MakeNow.Meme: Optimization of market-making models
MakeNow.Meme is no longer trending, but it attracted widespread attention when it was launched. On its first day, it issued over 2,600 Memecoins, generating over 230+ SOL in revenue. Compared to PUMP.FUN, its issuance mechanism not only simplifies the asset issuance method but also provides a new direction for market-making models.
Simplifying asset issuance methods again — On Twitter, publish tweets in a fixed format (tweets starting with a $ symbol and stock code, along with token descriptions/videos/images, etc.) and @ the official account, waiting for the official account to reply with the token contract address in the comments.
Optimization of market-making models — On the surface, everyone needs to scan the chain to obtain the contract as quickly as possible. However, KOLs and project parties may privately reach agreements with platforms to preemptively buy low-priced chips.
According to Dune data, MakeNow.Meme gradually faded into obscurity just one week after its creation, leading to an unremarkable conclusion. This may confirm that the core narrative and main logic of Memecoins still revolve around the pursuit of fairness.
Moonshot: Natural traffic backed by DEX Screener
Moonshot was developed by DEX Screener around June this year. Although it is backed by DEX Screener and even embedded in the platform, its data is still sparse compared to PUMP.FUN. Despite having natural traffic support, it seems unprepared for traffic acquisition and conversion, failing to display MetaData before launch and lacking simple retrievable launch history, resulting in a lack of transparency in functionality.
Its data performance after being launched has been relatively mediocre. This may indicate that the traffic entrance has always existed, but how to convert users is the key.
Recommended Reading: (Overview of various chains 'PUMP.FUN', where to play for profit?)
Optimization of user experience
In addition to innovations in asset issuance methods and capital diversion, optimizing user experience is also a reason for the large-scale explosion of Memecoins in this round.
TG Bot: Optimized for Web3 users
Behind this round of Memecoin super cycle is the development of tools and on-chain robots, whose functions are rapidly updated through continuous iterations. From sniper, regular investment to safety checks and correlation analysis, powerful tools and robots safeguard users' on-chain gold mining, driving Memecoins towards the masses from the demand side.
During this period, tools for Memecoin trading expanded from mobile to web, catering to different segmented demands. Professional trading sites compatible with multiple chains, such as gmgn.ai, Bullx, Photon, as well as convenient TG bots like Banana Gun, Tojan, Bonkbot, etc., have emerged. These services specifically aimed at Memecoin trading have transitioned from a broad approach to a deeper focus, with tools for wallet analysis, Twitter monitoring, security checks, etc., becoming increasingly complete, validating their business model. During this process, the number of TG Bot users has also been continually increasing, with daily active users exceeding 140,000 and daily trading volumes nearing $500 million. Although there is still a long way to go compared to on-chain DEX, this subdivision remains a blue ocean under the influence of the Memecoin super cycle.
Recommended Reading: (Don't get caught again! Advanced Guide to Memecoin Tools)
MoonShot: Optimized for Web2 users
Apart from Web3 users, Memecoins are also the most direct way for Web2 users to enter and understand Web3. However, there are still many issues in Memecoin trading, such as high security risks, dispersed platforms, and difficulty in obtaining Gas. The MoonShot project, in which the PUMP.FUN incubation team Alliance DAO participated, has addressed this issue to some extent.
It is a mobile application focused on meme trading built on the Solana network, allowing users to buy Memecoins directly through fiat deposit methods such as Apple Pay, credit cards, and PayPal. This simplification of the social login and fiat deposit process brings more new users and new funds to the Solana ecosystem, linking on-chain Memecoins with off-chain capital. However, currently, as the wealth effect weakens, the activity level of MoonShot users is gradually decreasing. The question of how to effectively convert Web2 users remains a persistent issue in the crypto field.
Rapid turnover of various narratives
As the most representative of the attention economy phenomenon in the crypto market, Memecoins show a trend of diversified narrative programs under the market boom in 2024. Looking back at various previous speculative projects, the narrative themes of Memecoins differ widely. However, behind each type represents specific market trends, community movements, and capital operation models. Based on past patterns and characteristics, we can roughly categorize them into four types: event-triggered derivatives Memecoins, community-driven IP Memecoins, celebrity effect-driven concept Memecoins, and emerging Memecoins across multiple dimensions and fields. Various types intersect and influence each other, and are not entirely independent.
Derivatives Memecoins triggered by events
Memecoins triggered by sudden events often gather significant attention right from the start, with traffic and capital quickly pushing up the asset prices of Memecoins during the attention phase. The rise from occurrence to increase often happens suddenly and is difficult to replicate; its core characteristic is rapid outbreak with a high short-term multiple but insufficient sustainability, needing to find other momentum after attention wanes. Types like BOME, SLERF, FIGHT, and BAN can belong to Memecoins driven by events.
BOME (BOOK OF MEME) is a presale project initiated by Pepe meme artist Darkfarm, which raised over 10,000 SOL in presale funds. Due to widespread attention, its trading volume exceeded $200 million upon launch, and three days after listing on Binance, its market cap peaked over $1 billion. Subsequently, SLERF, which adopted the same presale mechanism, experienced a sudden price spiral due to an unexpected destruction of LP and airdrop reserved tokens, driven by sudden events and subsequent dissemination.
However, if subsequent meme speculative events triggered by sudden incidents do not maintain continuous market attention, prices will converge and decline. The Fight token, derived from slogans after Trump's assassination, once exceeded a market cap of $80 million, but now lacks attention, with its market cap dropping over 90%. Similarly, the meme coin BAN, based on an art concept released by Sotheby's vice president Michael Bouhanna on PUMP.FUN, saw a peak decline of 85% after listing on Binance.
Community-driven IP Memecoins
IP-type Memecoins often have strong consensus, forming long fermentation periods, and can develop communities after lengthy cycles. These community-driven IP Memes have shown strong resilience amid fluctuations in 2024. Their rise to new highs may experience a lengthy washout period, with core characteristics being high community consensus and a strong CULT temperament, or showing strong resilience amid repeated declines and increases. Examples include Cult series POPCAT, SPX, APU, and other established IPs like MEW, NEIRO, and MANEKI.
MEW (cat in a dogs world) is a brave cat that fights against dogs. The token was launched in March this year and reached a maximum market cap of $1 billion as a pioneer in the 'cat track'. Later, another IP, Maneki (Japanese lucky cat), also referred to its 90% liquidity pool and 10% community distribution mechanism, causing a brief FOMO. Another example of a community IP type Memecoin is Neiro, named after the rescue dog recently adopted by the owner of the deceased Shiba Inu celebrity Kabosu, whose token reached a market cap of nearly $50 million within two days of launch. The token price fluctuated repeatedly around issues of public chains and case sensitivity, and the speculation on the asset continued from on-chain to exchanges. The Ethereum lowercase Neiro eventually triumphed with community support, reaching a market cap of $1.2 billion. Additionally, Murad, as a rising star in the super cycle, has a token screening criterion of being at least six months old and having undergone at least two 70% drops. Therefore, although SPX's short-term rise benefited from its influence, the importance of community IP is also the reason for its rebirth amid repeated declines.
Celebrity effect-driven concept Memecoins
The performance of Memecoins is often bound to key figures, celebrities can promote related concepts through specific Memecoins, and tokens can further spread due to the celebrity effect. Its core characteristic is the correlation between price fluctuations and the magnitude of celebrity influence and the strength of binding relationships. Types like DOGE, PNUT, TERMINUS led by Musk, and others like JENNER and MOTHER belong to this category.
The behavior and influence of celebrities issuing tokens have also changed in this round of Memecoin super cycle due to the emergence of Pump.fun, with a faster pace and higher multiples, attracting numerous Web 2 celebrities to participate. The JENNER token developed by Caitlyn Jenner, a member of the Kardashian family, saw a surge of 160 times in one night; the well-known American female rapper Iggy Azalea's tweet about the meme coin MOTHER pulled up thirty times in two minutes, reaching a peak market cap of over $200 million. Musk's concept tokens are also a focus for Memecoin players; whenever he posts topics of interest on social media, such as Mars-related concepts (TERMINUS), government efficiency departments (D.O.G.E), and political concepts (PNUT), related tokens on-chain will experience short-term surges.
Emerging Memecoins across multiple dimensions and fields
The super cycle hype of this round of Memecoins is no longer limited to native Web3 content, but spans multiple fields, covering a wider range of topics and themes. Within various sectors, there are many types of speculative targets that quickly attract attention from multiple domains. From TikTok traffic to new AI technologies, and to frontier disciplines such as DeSci (Decentralized Science) and physics, the hype surrounding Memecoins has rapidly spread, with the areas involved continuously expanding and showing a trend of cross-border integration. Memecoins seem to have become a testing ground for emerging technologies, an experimental field for unproven tracks. The core characteristics of this type of Memecoin are innovative narratives and a broad range of outreach. Types like MOODENG, PESTO, CHILLGUY, GOAT, ACT, VIRTUAL, AIXBT, RIF, and URO belong to this category.
Moo Deng is a baby hippo born in a Thai zoo, which became a darling of social media like TikTok and Instagram due to its meme-like expressions, eventually being selected as the meme of the year by Twitter. The Moo Deng token on Solana once reached a market cap of $700 million, successfully listing on Coinbase as the smallest Memecoin by market cap, triggering meme speculation demands in the Web 2 sector. Following this, tokens like PESTO and CHILLGUY also garnered widespread attention due to their strong Web 2 traffic, with market caps exceeding $500 million.
Subsequently, speculation on AI agents also became hot. GOAT, which launched in June this year, saw its market cap surge over $1 billion, followed by AI Memecoins like ACT and ELIZA quickly capturing the minds of on-chain players, while application tokens related to AI Agents such as ai16z, zerebro, virtual, and aixbt gradually developed into an ecosystem. Later, Binance announced its investment in BIO, bringing DeSci (Decentralized Science) into public view, with new rounds of speculation beginning for tokens RIF and URO related to the Pump.Science platform, with market caps exceeding $200 million.
Recommended Reading: (Deconstructing memes, why did MEMEs perform exceptionally in this cycle?)
Mainstream acceptance and adoption
Memecoins have transitioned from initially marginalized assets to being widely followed by institutions and investors. Their user base continues to grow, and capital inflows are increasing, gradually gaining acceptance and adoption in the mainstream market.
From the perspective of capital inflow, the liquidity in the market is clearly traceable. Many institutions have begun to allocate Memecoins; major exchanges have launched Memecoins; market makers are actively hoarding Memecoins. As of December 23, 2024, the overall market cap of Memecoins has risen to $230 billion and continues to grow. According to a report released by Bybit in June, institutional investors increased their spot positions by nearly $300 million in the first half of the year. Almost all crypto exchanges have listed various Memecoins, and Binance has cumulatively listed over 20 Memecoins since 2024 (including futures and spot), with 80% of tokens experiencing significant growth in market cap after listing on Binance. Five crypto market makers, including Wintermute, GSR Markets, Auros Global, B2C2 Group, and Cumberland DRW, hold Memecoins with a value exceeding $100 million.
From the perspective of user growth, there has been a significant change in attitude. In the first half of the year, A16Z was still debating value coins but began to participate in speculation, unexpectedly giving rise to the first AI Memecoin GOAT. Vitalik Buterin has also expressed expectations for the future of Memecoins, participating in MooDeng's promotion and charity work. Pantera partners have publicly acknowledged Memecoins, viewing them as the simplest way for the next generation to experience the latest DeFi applications and introduce them to Web3. Furthermore, an increasing number of Web2 users have begun to recognize the value of Memecoins, with DeSci's scientific assistance experiments, the Dogecoin ocean garbage cleaning program, NOT as a social tipping and red envelope function, all creating fertile ground for Web2 users to understand and accept Memecoins. According to statistics, from the beginning of 2024 to the end of the year, the number of global Memecoin users has exceeded 50 million and continues to grow.
Conclusion
BTC, as the largest meme coin in the eyes of Web2, has surpassed $100,000, as proven by the market. As an early participant in Memecoins, are we merely gamblers seeking quick riches or forward-looking investors? What will be the ultimate direction of Memecoins? Will they fade into marginalization and gradual extinction, or will they gradually develop and enter the mainstream?
Cycles alternate and rotate, time tests the truth, and the answer is written in the future.
