In the MEME liquidity game, who profits from the capital carnival?

Author: Nancy, PANews

Behind the growing prosperity of MEME culture, there is actually a contest of interests involving multiple forces. In this tense and fierce game, all parties involved are the key forces driving the continuous rise of the MEME market, and some even use their skills to grab huge profits and become the direct beneficiaries of this feast.

Top Player/ Survivor

The wealth effect of MEME has significantly amplified the market's heat, especially the viral spread of various stories of getting rich hundreds or even thousands of times on social media, which has aroused investors' enthusiasm. However, there are very few "diamond hands" who firmly hold on to their assets, and there is also a serious survivor bias. For example, according to recent Lookonchain data monitoring, a trader bought 5 types of MEME coins due to FOMO in just 5 hours, but each transaction resulted in a loss of "cut meat", with a total loss of 274 SOL (about 43,500 US dollars); Onchain Lens monitoring showed that a "not very smart" trader bought 12.15 million GNON at a price of 10 SOL (1505 US dollars), but sold it for 7.32 SOL (about 1113 US dollars) just one minute after the purchase, with a loss of 392 US dollars. Now the value of this asset has exceeded 8.5 million US dollars.

It can be said that most of the participants in this asset carnival are just following the crowd, and some are even unfortunately used as exit liquidity for redistribution of benefits. It should be noted that most of the "smart money" that earn high returns often have comprehensive capabilities such as sufficient financial support, keen market insight, diversified technical tools and strong psychological qualities. For example, Murad, the "MEME Godfather" who has been highly respected by the community in recent times, holds a large number of MEMEs with heavy money. The chain detective ZachXBT disclosed in early October that the value of his MEME positions has reached 24 million US dollars. Now, the assets held, including SPX, POPCAT, MOG, APU, etc., have achieved very considerable returns, some of which have a return rate of up to dozens of times.

However, some of the so-called "smart money" are more likely to be insiders or project owners. For example, in the case of MEME coin SHAR, Lookonchain monitored that an insider sold 500 million SHAR (50% of the total supply) in a transaction in exchange for 19,620 SOL (about $3.38 million). This dumping behavior caused the price of SHAR to collapse by about 96%. At the same time, this RUG incident also exposed several KOLs who participated in the early hype and profited.

Launch platform

With the lowered issuance threshold and optimized transaction efficiency, the MEME launch platform has obtained a large amount of traffic and funds. Taking Pump.fun as an example, Dune data shows that since its launch in early March, more than 376 addresses have issued more than 2.6 million tokens through Pump.fun. In the past 24 hours alone, about 12,000 addresses have issued 21,000 tokens. This data is enough to show the strong demand for MEME, which also drives Pump.fun to make a lot of money. Dune data shows that as of October 24, Pump.fun's cumulative revenue exceeded 990,000 SOL (worth about US$150 million). Lookonchain monitoring shows that Pump.fun has sold 503,343 SOL (worth US$78.7 million) at an average price of US$156.4.

However, the MEME launch platform has obvious first-mover advantages. PANews has also mentioned in previous related analysis articles that most of the MEME market's circulation and traffic are undertaken by leading projects such as Pump.fun.

Deployer (Dev) / Community Takeover (CTO)

With the reduction of the issuance threshold and fees of MEME, including the recently popular AI agent MEME, a large number of token deployers (Dev) have entered the market and taken this opportunity to profit.

For example, according to Lookonchain monitoring, Neiro deployers earned 15,508 SOL with only 3 SOL, with a return of 5,169 times; according to Paidun monitoring, the Void deployer on the Base network thevoid.base.eth removed liquidity and exchanged tokens for about 130 ETH (worth about US$360,000), and the token has fallen by 99%; Onchain Lens monitoring, PELF deployers sold 3.2 million PELFs at a price of about 662 SOL, totaling US$103,000 (sales may also occur in other wallets); SANYUAN Labs disclosed that the address starting with "4Ddr" issued 300 MEME coins in the past 30 days, earning US$100,000 a month... Such cases are not uncommon.

As these Devs profitably exit the market, CTO (community takeover) projects that focus on “community autonomy” have become a hot topic in the market. Successful cases have not only attracted the attention of market participants, but have even been used by some groups as a new profit-making tool.

Public Chain

As Solana's MEME ecosystem quickly became popular, the craze began to spread to major public chains such as Ethereum, Base, TON, Sui and BSC, and significantly promoted the growth of related data. Among them, Solana and Ethereum are the two major battlefields where MEME players mainly participate, and most of the popular and top projects are also born on these two chains. The latest data from CoinGecko shows that as of October 24, the market value of MEME on Ethereum has exceeded US$35.5 billion, and the relevant market value on Solana is close to US$12 billion, accounting for 63.1% of the overall market. This also confirms the strong influence and appeal of Ethereum and Solana in MEME.

Although Ethereum is slightly better in terms of the size of the MEME market, it is mainly supported by old MEME coins such as DOGE, SHIB and PEPE, while Solana is the fertile ground for this wave of MEME craze. Many new leading MEMEs come from this chain, which also injects strong momentum into Solana's data growth. For example, according to DefiLlama data, due to the rising hype of MEME coins, the daily transaction fee on the Solana blockchain has risen to the highest level since early May 2024, reaching $550,000, the second highest daily transaction fee in its history.

As for the different characteristics of MEME development on Solana and Ethereum , PANews has also written an article to interpret that the MEME on Solana is mainly good at quickly using hot spots to capture traffic and showing stronger price explosiveness and capital attraction. Ethereum has a more solid capital and user base, and the MEME types are more diversified.

Various tools and service providers

If MEME hunters want to be one step ahead in understanding market opportunities among a large number of assets, effective and practical tools are essential. These products make profits from providing services to investors and issuers through tool usage and service fees.

PANews has also compiled the commonly used tools for playing with MEME , including contract security testing, data dashboards, launch platforms, commonly used wallets, and more than 50 practical tools to help investors better capture Alpha.