- Large amounts of SOL locked up in memecoin pre-sales on Solana, with top project raising $30 million
- Solana co-founder Anatoly Yakovenko tweeted for investors to stop participating in memecoin pre-sales due to concerns
- Memecoin frenzy has congested Solana network and caused issues for new projects trying to distribute tokens after launch
The recent memecoin craze on the Solana blockchain has led to millions of dollars being contributed to token pre-sales. However, this frenzy has also caused major network congestion and problems with projects being able to properly launch and distribute tokens.
Large Sums Raised in Memecoin Pre-Sales
On-chain data shows that several memecoin projects on Solana were able to raise significant funds through pre-sales, with the top project raising around $30 million worth of SOL. While memecoins are seen by some as an important part of community engagement, others view them as facilitating gambling and lacking utility.
Calls to Stop Investing in Memecoin Pre-Sales
In light of the data showing large amounts of SOL being locked up in memecoin pre-sales, Solana co-founder Anatoly Yakovenko tweeted for investors to “stop doing this.” While memecoins have helped drive interest in Solana, they may attract speculation for the wrong reasons. Yakovenko and others seem concerned about investors getting caught up in hype and losing money.
Network Congestion Causing Issues for Memecoin Launches
The surge in memecoin demand has congested the Solana network and caused issues for projects attempting to launch and distribute tokens. One project, Dekadente, has struggled to airdrop tokens to pre-sale investors due to congestion. High transaction volumes have made it nearly impossible for new projects to distribute tokens and add liquidity simultaneously.
Conclusion
While memecoins have fueled speculation and congestion on Solana, they have also stress tested the network and exposed areas for improvement. However, many argue memecoin mania signals overheating and draws attention away from projects focused on utility. The situation has renewed calls for investors to be cautious and do their due diligence when participating in pre-sales.
