Since the beginning of April, over one million new tokens have appeared on the market. Of these, more than 370,000 tokens were created on the Ethereum platform, and more than 640,000 were created on Solana, mainly in the form of memecoins

. Since April 1, 372,642 new tokens have been registered on Ethereum, of which 88%, or 327,553, were issued on Coinbase's Layer 2 blockchain. This Layer 2 network has seen an explosion in activity, largely due to increased interest in creating new memcoins on a more accessible platform.

According to Coinbase CEO Conor Grogan on May 14, the volume of new tokens over the past month is double the total number of tokens created on Ethereum over the eight years from 2015 to 2023. Data from Dune Analytics confirms these findings. The total value locked (TVL) on Base has increased by approximately 630% year-to-date, according to L2beat data, thanks in large part to increased interest in memcoins.

Also, according to the Step Finance platform, 643,227 new tokens have been created on Solana since the beginning of April. Grogan's post caused a lot of negative reactions in the crypto community, many of which pointed out that memcoins are harmful to the values of cryptocurrencies.

One commentator described the situation as "pure negativity", citing the spread of fraud and manipulation. They added that these funds could have supported larger legitimate projects, but now they were in the hands of scammers. Other critics have characterized the surge in new memecoins as “spam for farming sniper bots” designed to automatically harvest new memecoins in hopes of making a quick profit.

A Cointelegraph investigation in April found that one in six new underlying memcoins are fraudulent, and more than 90% of them contain vulnerabilities. Despite criticism, memcoins turned out to be the most profitable cryptocurrency in the first quarter of the year