A Shocking Number of Meme Coins Have Failed in 2024: Study

New research by Chainplay highlights a staggering 97% failure rate for meme coin projects since 2024.

The data shows that meme coins have an average lifespan of just one year, while typical crypto projects last about three years.

The Mortality Rate of Meme Coin Projects

According to AlphaQuest, a crypto research tool, an average of 2,020 meme coin projects die each month.

The research also highlights the varying mortality rates of meme coins across different blockchain platforms. Base leads with a death rate of 66.91%, followed by Solana at 54.03% and Ethereum at 36.59%.

In addition to their high failure rates, meme coins are often linked to malicious activities, with over half (55.24%) classified as such.

Despite these risks, these cryptocurrencies remain appealing to investors, especially those seeking quick gains. The research indicates that nearly 60% of investors in this asset class view them as short-term investments.

The study also shows that these coins have become a significant part of many crypto portfolios, with two-thirds of crypto investors having invested in them at some point.

Investor and Media Outlook

The perception of meme coins varies significantly among investors based on their experience. While 54% of all meme coin investors do not view these assets as essential to their portfolios, nearly 58% of new investors—those active for less than six months—consider them crucial.

In contrast, only a third of investors with over a year of experience regard them as must-have assets, suggesting that increased expertise leads to greater caution.

The media’s perspective reflects similar caution. The study found that only 13.77% of news reports on meme coins are bullish, indicating a predominantly cautious outlook.

Chainplay’s research also emphasizes the importance of thorough research into these assets, especially given the high prevalence of scams.

They noted that audit reports have proven to be a valuable tool in this regard, correctly predicting whether a meme coin will turn out to be a scam in 81% of cases.

The research underscored the importance of due diligence for investors navigating the market within this asset class.