Solana Co-Founder Warns About Memecoin Presale Trend

In the context of the memecoin wave on Solana sweeping away hundreds of millions of dollars in capital inflows thanks to the presale frenzy, a warning bell has been rung by Solana Labs co-founder Anatoly Yakovenko: “Stop doing this”

Stop doing this. https://t.co/wY7E38MqYh

— toly 🇺🇸 (@aeyakovenko) March 19, 2024

Anatoly cited impressive statistics on the massive amount of capital that memecoin projects have raised during the presale phase on Solana. Topping the list is the 0xDekadente account, which raised 169,982 SOL, equivalent to $30.5 million; while even the smallest project, NftRamo, managed to raise $165,060.

As of March 12, the entire platform has witnessed 33 presales with a total capital raise of over $150 million massively flowing into memecoin projects.

Although the presale model is gaining attention, it remains a high-risk investment form. The funds are sent directly to wallets instead of being verified by smart contracts, providing no protection measures. Additionally, this craze has also overloaded the Solana network, causing transaction difficulties.

This is the reason why the Solana co-founder had to speak out and warn users about the potential risks.

The memecoin wave originated from Book of Meme (BOME) when this token surged over 36,000% in just a few days after its launch on March 12. Its appeal was so strong that even major exchanges like Binance still listed it for trading. Many Solana memecoins have created new millionaires, such as BONK and WIF.

Related: Investor Loses $147,000 Playing Memecoins on Solana

Chart Solana

It was thanks to the memecoin heat that SOL surpassed $200 for the first time since late 2021, setting a new all-time high market cap for the project.