Frenzy for 1,000x Gains Drives Surge in New Tokens on Solana

cryptonews.com:

The Solana blockchain network has experienced an unprecedented influx of new tokens this month, surpassing any previous records by a significant margin. 

According to data from  Solscan , over the last two weeks alone, a staggering 72,202 new tokens have been minted on Solana using the SPL token standard. 

This number is more than 71 times the amount of tokens created during a comparable period in October.

The daily statistics for new token creation on Solana are now consistently four times higher than ever before since the network’s launch in 2020. 

While the Solana ecosystem has witnessed a remarkable revival in the past two months, driving up the value of SOL, Solana NFTs, Solana meme coins, and even demand for the Solana smartphone, the sudden surge in token creation cannot be solely attributed to organic growth in network activity.

Blockchain investigator and Sol Incinerator project lead, known as Slorg, raised concerns about the exponential rise in token creation. 

Slorg discovered a fake token for Sol Incinerator on Solana and tracked its on-chain transactions. 

The imposter had created dozens of new SOL coins on the same day, rapidly pumping and dumping each of them within minutes before moving on to the next token, including PUZZ, RUN, BABY DINO, and DEGEN BOT.

Slorg revealed that many of the approximately 7,000 tokens launched daily on Solana are churn-style tokens created to attract attention and exploit users monitoring the “recent” tab on platforms like Birdeye, a popular crypto trading data aggregator. 

Slorg even uncovered wallet trails where an individual had launched 300 tokens themselves in just one week.

It is important to note that not every hyped Solana meme coin is a short-lived rug