Pump and We.Rich drive the national development coin, how many steps are there to build more than 100 million market capitalization MEME?

Author: Frank, PANews

In the Bull Market of not dumb buying each other, the Meme coin track has entered a new stage - the issuance of coins for all.

Since April 18, the number of daily issuance Token Solana on-chain has exceeded 10,000, and the Base chain has maintained 2,000+ daily online trading pairs for long consecutive days. The reason behind this surge in coin is mainly the explosive rise of one-click coin tools represented by Pump.

Pump rises to create a wave of coins issued by the whole people

Pump.fun is a meme coin coin tool and social platform that mainly long wick candle Solana chains. It can support users to deploy issuance Token at a very low cost (0.02SOL) without any development experience. Since its launch in January 2024, it has accumulated more than 460,000 issuance Token. As of May 9, Pump's cumulative revenue has exceeded $17 million (subject to a 1% transaction fee)

Although there were longest one-click coin issuance products in the industry before, few of them achieved the popularity effect of Pump. For the average user, the main advantages of Pump are as follows:

1. The coin process is so simple that the issuance can be completed within 1 minute. Token issuance on Pump, users only need to upload a picture, give a name, write a description to complete, the whole process is very simple, users can not adjust the number of issuance and token ownership and other settings.

2. Exempt LP pool fees. Compared with the past one-click coin issuance products, in addition to paying a certain deployment cost, the main cost is the funds staked in the transaction pool. Pump has made an innovation in this regard, which does not require users to put their own funds into the pool at the time of initial deployment. Instead, an LP pool of about $60,000 is automatically set up, and as the number of buyers increases, once the market capitalization reaches $60,000, all the buying funds will be automatically credited to the LP pool and Rayium Swap will be listed. This makes it possible for some projects to have a relatively stable pool of funds once their market capitalization exceeds $60,000, rather than depending on the self-consciousness and ethics of the founder.

3. The social interaction function concentrates on the precipitation of meme culture. For very long meme coin, the biggest headache for players may be to understand the community situation and discussion about the project (usually need to actively find the community), and on Pump, because of the setting up of a message board-like function, players can keep the discussion content about this coin. So that those who enter the market can quickly understand the progress of this Meme coin.

Everyone turns over to make a "sickle"?

In addition to pump, which is active on Solana, similar products have begun to appear on other on-chains. For example, We.rich and FriendTech in Base on-chain We.rich have more long features and UI optimizations on the basis of Pump, such as Token maintaining a very low price in the early fair launch stage and keeping the price extremely low and limited Mint. Although there is still a large gap between the current number of issuance and active users and Pump, for the Base chain, which also has a huge meme market, the emergence of this project may also add a new meme coin battlefield.

In addition, many products combined with AI essentially provide similar one-click coin issuance functions, such as Spectral, which has just released an Airdrop plan, is to write contract code through GPT-like text dialogue tools. However, compared with the function of one-click coins, there is still a big difference in the convenience of this product.

The emergence of Pump products, does it mean that players can turn over from suckers to make sickles? After PANews experiments, it was found that although Pump simplified the coin issuance process and cost to a minimum, it may be difficult to realize the dream of a 100x coin. For ordinary users, the token issuance usually only attracts a few automated trading bots to enter the market, and there is no movement after a few quick trades. And long issuance Token on Pump are in this state, and there are very few market capitalization can exceed $60,000 a day.

For coins issuers, these passing players will quickly take away liquidity, and in the end only the founder's purchase funds are left in the pool. Although it is not too long to lose money, there is still a long way to go in terms of the goal of making a profit.

How to build a meme of more than 100 million

In fact, there are longing success stories on Pump. The top meme coins by market capitalization also have tokens with a market capitalization of more than $100 million. Typical are the two "Elvis Presleys": michi and Shark Cat.

Next, PANews analyzes how these meme coins with a market capitalization of more than 100 million were born based on several cases with high market capitalization.

The journey of the two Elvises

michi is the highest market capitalization meme coin on Pump to date, with a market capitalization of $186 million, and was created on April 8.

Shark Cat has a market capitalization of about $160 million and was created on March 26.

Material:

First of all, the timing and theme of these two tokens have become the basic conditions for high market capitalization. During the period at the end of March and the beginning of April, it happened to be the stage of the popular "cat and dog war" in the meme track, and during this time, everyone Solana on-chain like to find memes with various cat and dog themes for hype. And these two Tokens happen to belong to the same Cat camp. It just fits the hottest theme at the time.

Community:

In addition to the good timing, the community foundation is also very important. According to PANews research, almost all of the top meme coins by market capitalization have a characteristic, that is, the promoter is not an anonymous amateur.

In the case of michi, its founder, psykø (@psykogem), is himself an experienced meme coin player and KOL with 4,700 followers on X, and he is personally active on X and Telegram, and his tweets have always maintained a high number of views. Before Michi's release, he personally warmed up on social media longest.

The founder of Shark Cat is also a KOL named 0xWinged (@0xWinged), and before the launch of Shark Cat, he had successfully issuance the CopyCat project and achieved good results. He also has more than 10,000 followers on X.

Momentum Ability:

Of course, a certain number of followers alone does not guarantee that the issuance of tokens will be easily successful. The topicality in the issuance process is also an important element to drive price speculation. The founder of michi played a sincere card, and at the beginning of the issuance, he bought 40 SOL of michi Token out of his own pocket and burned it. This move helped Michi quickly reach the curve progress bar of $60,000 in market capitalization, and secondly, it seemed to users who entered the market later that there was a heroic spirit of "I did it first, you are free". This also gives long people confidence to be optimistic about the development of this Token. In the end, Psykø also made more than $2.5 million through this heroism.

Subsequently, in the process of michi's development, psykø also airdropped 1%; advertise in New York's Times Square; Paying artists to make relevant internet meme materials continues to build momentum for the Token.

0xWinged's issuance of Shark Cat took a different approach, a Space event on X. Users who bought early were basically attracted to the market through this space.

Funding:

Meme orgies are never one-man orgies. The third pump market capitalization project on Pump is a project called TEH EPIK DUCK (EPIK), which has a user Address GE4LX5DcEAfgVD1MZ1ahiUJboL3G3X4yuh2gcRytjvL5 directly purchased 30 SOL of EPIK Token in the first half of the issuance of this project, directly filling the progress of this Token curve. The user ended up making a profit of 1,369 SOL through EPIK. Although we don't know why this user dared to have all in spirit at the beginning. However, judging from its transaction records, this user bought longest Yellow Duck Tokens with the same theme on April 3, and invested more than 10 SOLs each time. Behind this coincidence, there may be a capital routine of mass meme hype. And in the early transactions of several other high-market capitalization projects, there were similar large speculators.

Through the above analysis, we may be able to get a glimpse of some of the necessary elements in the process of building momentum for popular meme coins. That is, materials, communities, momentum-building capabilities, and funds. These four elements are indispensable for the success of a Meme coin, and although not every Meme coin needs to be a quadrilateral warrior, it needs to have at least a certain specialty in several aspects to make up for the lack of others.