Meet the Market Makers Behind the Memecoin Revolution

Meme coins have been one of the leading narratives of crypto in 2024, much to the chagrin of many serious pundits in digital investing.

Although a constant stream of new launches, minting, white list, and airdrop events gives the casual observer the impression that memecoin projects are multitudinous, it’s hard to lock down an exact number of active projects.

Certainly, DIY memecoin minting platforms are making it easier than ever for anyone with an idea to launch their own meme coin project. Makenow.meme claimed that they helped launch 4,229 projects within 3 days of their launch on July 31.

Measuring the Meme-o-Sphere

According to DEX aggregator DexScreener, between 40,000-50,000 new crypto tokens are created every day. Solana leads with 17 to 20 thousand new tokens a day. We will assume for the article that the majority of these coins never truly launch or self-rug too quickly to be counted.

According to CoinGecko, 436 meme coins have launched on Solana, the cheap, fast, energy-efficient L1, which has become the primary home for meme coin projects. The combined market cap (MCAP) of these projects on Solana is over $6.3 billion.

Four hundred meme coin projects have launched on Solana with a combined market cap (MCAP) of over $6,3 billion, according to CoinGecko. Other competing chains, like Coinbase’s centralized L2 Base Network and Telegram-integrated L1 dubbed The Open Network, are interested in courting the boom of new meme coin projects but don’t have nearly the volume. Base has meme projects with a combined market cap of $1.2 billion and TON has meme coin projects with a combined MCAP of $99 million.

Human ingenuity and the desire for profit are creating the daily flow of new coins, but what separates the coins that succeed? In an industry where wild innovation reigns supreme and tastes can be as fickle as the internet itself, is there any way to ensure an edge?

Market Making for Memes

Gotbit Hedge Fund has provided Market Making (MM) services for over 500 meme projects in the past six months at the time of writing. Notable successes have included Myro, Ponke, Bonk, and MUMU, all of which reached a $200M or greater market cap.

“Working with memes is very different from working with utility projects. Most memes are launched using the fair launch method. They are usually on Solana, and the meme's lifespan is much shorter, but the community plays a much more important role,” Gotbit CEO and Founder Alex Andryunin said.

To meet the need for exposure, Gotbit has developed the biggest X Spaces show focused on crypto and meme coins, which attracts an audience of between 200,000 and 400,000 people every week.

“The most important moment in the life of a meme is the launch day. Gotbit has the best expertise in launches and shares it with clients, helping to launch their token in a fair and transparent way.”

Gotbit also provides market-making services to help with launching the token, assist with getting listed on Centralized Exchanges (CEXs), develop airdrop strategies, and provide ongoing marketing services.

When asked if the use of MM services was a new phenomenon among memecoins, Andryunin demurred. “From the start, the need for strong MM services was obvious. Bonk became a great case study showing the way for successful development of a meme project, using the support of Market Making by working with us.”

Andryunin said that although certain MM services benefit projects with over a $1 million market cap, there are benefits to working with one from the very beginning.

“Projects with a market cap above $1M benefit more from MM services because they have more organic traders in the market. But Gottbit also assists with the launch, so meme projects at all stages benefit.”

Will the Meme Boom Continue?

Gotbit is optimistic that the meme coin super cycle will continue through the middle of 2025 – and they believe memecoins overall are here to stay.

“We expect the memecoin sector to be in trend and the main liquidity hub in crypto throughout the bull market - based on our expectations, till the middle of 2025. But the memecoin sector as a phenomenon will exist as long as crypto exists.”

Launching a successful meme project is a bit like trying to write a hit song – it is not an exact science – but Andryunin shared a few tips for new projects.

“For newly launched memes – focus on community building. Follow trends, follow the community and their needs, and be open with the community.

For memes with a market cap of more than $10M, look for partners that can help your token get listed on Tier-1 CEXs and constantly reinvest your profits into new listings and marketing.”

Image source  Rizwan Gabru from Pixabay.

Justin Roberti is the spaces show host for Gotbit.