👉1. Introduction

With the continuous evolution of the cryptocurrency market, Memecoin has gradually developed from a community joke to a significant market branch. However, despite its ability to quickly attract investors and community attention at certain times, Memecoin still faces a series of notable challenges, particularly in terms of liquidity issues, rapid decline in popularity, and the lack of innovative economic models. These issues limit the long-term sustainable development of Memecoin projects.

The recent overall correction in the crypto market has further highlighted the vulnerability of the Memecoin market. For example, Solana (SOL) has dropped more than 50% from its high of $295 in January 2024, marking the worst monthly performance since the FTX collapse. Memecoin projects based on the Solana blockchain, in particular, are facing a severe market cooling. The market capitalization of Solana Memecoins has thus decreased by around $15 billion, reflecting a significant reduction in market interest in Memecoin projects.

At the same time, the overall volatility in the Memecoin market remains high. Memecoins such as Dogwifhat (WIF), Ai16z (AI16Z), and Bonk (BONK) have led the market downturn within just 24 hours, signaling that short-term investors are quickly retreating. This sharp price fluctuation highlights the risk characteristics of the Memecoin market, while also revealing that Memecoins, which rely on celebrity influence and short-term social trends, are prone to forming market bubbles.

In this market environment, the significant gap between the short-term boom and long-term decline of Memecoin projects underscores their lack of stable liquidity mechanisms and sustained innovation incentives. While Memecoin projects attract investors, they often struggle to maintain ongoing user engagement and market activity. In this context, LuckyMeme is introducing more stable and creative mechanisms to provide higher liquidity for the Memecoin market, and is helping Memecoin projects address these challenges through diversified reward systems and incentive measures.