The meme coin market on the blockchain #Avalanche is becoming extremely lively, with a slew of million-dollar tokens being launched through the SocialFi application The Arena. This platform has witnessed explosive activity, pushing the AVAX Lambo Token to an impressive market cap and making The Arena one of the leading exchanges on Avalanche.
Last weekend, The Arena became a "hotspot" as million-dollar tokens were continuously launched. The platform's native token, ARENA, surged 127%, reaching a market cap of $58.7 million. However, the brightest star was Lambo, a meme coin that launched on Saturday, quickly hitting a market cap of $25.24 million, nearly half the market cap of the platform it was created on, before adjusting to $18.84 million.
Other notable meme coins include Magic Internet Money, which peaked at $5.4 million in market cap on Friday and is now down 73% to $1.4 million. Or Bridge Bro Bridge, a token that mocks traders encouraging others to transfer tokens to Avalanche, reached $2.4 million before dropping 35% to $1.5 million on Monday.
The Arena is a SocialFi application that allows users to earn money from content through a "tip" system. Last month, the platform launched a token launchpad and a decentralized exchange (DEX), which has recently boomed in trading volume. According to DefiLlama, in the last 24 hours, The Arena DEX has processed $17.7 million in trading volume, up 645% from the first day of the DEX launch. This has made The Arena the third-largest decentralized exchange on Avalanche, surpassing #uniswap .
Data from Blockworks shows that the number of tokens launched on The Arena on Saturday (2,362 tokens) and Sunday (2,356 tokens) was higher than any other day, except for a single spike right after the launch. Although this number is still lower than Solana's Pump.fun (23,456 tokens in the last 24 hours), traders believe that picking winners on Avalanche is easier, possibly due to a lower level of saturation.
Jesus Martinez, a trader and Avalanche ambassador, shared on X (formerly Twitter): "I am completely serious when I say I have a 0% chance of being this right on Solana. Perhaps this won't last forever, but it feels great." Another anonymous cryptocurrency influencer, Korean Jew, also posted on X about the spike of Lambo: "Nothing major, this happens all the time."
When the Avalanche platform exploded in growth, The Arena's CEO, Jason Desimone, reminded users that the application will eventually have its own Layer 1 (L1). This is made possible by Avalanche's ability to create L1s (previously called subnets) for projects to scale, while allowing L1s to interact with each other. A prime example is the shooting game Avalanche Off the Grid, with a dedicated L1 in the GUNZ network, driving the in-game item economy to expand.
Desimone stated on X: "A part of a thriving ecosystem is not just launching a token, but also builders creating tools and dApps on this SocialFi L1 platform. We have seen more tools and [decentralized applications] built for Arena in the past 2 weeks than in the previous 1.5 years. You are still early with this. The path ahead is clear."
Investing in cryptocurrency carries high risks due to strong price volatility. #anhbacong