Key Takeaways
- With easy to deploy crypto token launchpads like Pump.Fun, anyone can launch a memecoin for $2 and with no technical knowledge required.
- The key to creating a successful memecoin is choosing a meme trend that is already viral or has the potential to grab attention in the broader global memecoin market.
What is Memecoin?
Memecoins are cryptocurrencies that often lack intrinsic value but derive their worth from community engagement, internet culture, and novelty.
Examples include Dogecoin and Shiba Inu, which gained massive followings due to memes and viral campaigns.
How to Find a Good Memecoin Idea?
Before you head over to Pump.Fun or any memecoin launchpad it is important to understand what makes your memecoin stand out! Is it funny, relatable, viral or can potentially go viral amongst the community and has someone already created one with the same name and ticker name. Finding the name and the spirit of the memecoin is the first step.
Next, you need to develop a narrative around the token; lets take an example of SPX6900. This token has a unique positioning. The project aims at growing past the S&P 500 index.
It is a huge target in retrospect, but their narrative and a DeFi arm within its platform have made the project truly stand out.
Now, this token may seem a whole lot and you don’t necessarily need a humongous purpose but a story for the community.
How to Market Your Memecoin with Brand Building?
Now that you know how to spot a viral memecoin idea, let’s understand how you create a community around it. It is recommended that you build a community on major social media platforms like X, Telegram and even platforms like Coinmarketcap before you head to launching the token.
To build and attract a larger audience, you must design some graphics for your memecoin. You can use several AI tools and Canva to design quirky graphics to build your brand.
Step By Step Guide to Launch your Memecoin on Pump.Fun
Creating and launching a memecoin on Pump.Fun is a straightforward process, designed to be accessible even for those without technical expertise. Here’s a detailed guide to help you navigate the steps involved.
Step 1: Connect Your Wallet
- Visit Pump.Fun: Go to the Pump.Fun website.
- Connect a Wallet: Use a Solana-compatible wallet like Phantom or Solflare. Click the wallet connect button located at the top-right corner of the homepage and follow the prompts to securely link your wallet.
- Ensure Sufficient Funds: Make sure you have enough SOL tokens in your wallet to cover the deployment fee, which is approximately 0.02 SOL (around $2)
Step 2: Create Your Memecoin
- Start a New Coin: Click on the “Start a New Coin” option on the homepage.
Source: Pump.Fun
- Step 2: Enter Token Details:
- Token Name: Choose a unique name for your memecoin.
- Ticker Symbol: Create a short identifier (e.g., MEME).
- Description: Provide a brief overview of what your token represents.
- Image: Upload an image that visually represents your token.
- Review and Confirm: Double-check all entered information, then proceed to deploy your token by paying the required fee
Step 3: Set Token Supply
- Decide on Total Supply: Determine how many tokens you want to create (e.g., 1 billion tokens). This step allows you to set initial allocations if desired
Step 4: Deploy Your Token
- Approve Transaction: After confirming all details, approve the transaction through your wallet. Your token will be minted and made available for trading almost immediately
Step 5: Buy and Trade Memecoins
- Explore Available Tokens: Browse through the grid of existing memecoins on Pump.Fun. Click on any token to view its price chart, trading history, and community comments.
- Purchase Tokens: Use the bonding curve pricing model to buy tokens, where prices adjust based on supply and demand dynamics
Step 6: Sell Your Memecoins
- Selling Process: You can sell your tokens anytime using the same interface. The price at which you can sell will be determined by current market demand, allowing you to manage profits or losses effectively.
Step 7: Achieve Market Cap Milestones
- When your memecoin reaches a market cap of $69,000, additional liquidity measures are triggered. Approximately $12,000 worth of liquidity is added to Raydium, enhancing market stability and preventing manipulation.
Understanding the Mechanisms behind Pump.Fun: Bonding Curve
Pump.Fun utilizes a bonding curve model to facilitate the creation and trading of memecoins on its platform, primarily built on the Solana blockchain.
This mechanism is crucial for ensuring fair pricing and liquidity in a decentralized environment. Here’s a detailed overview of how it works.
Bonding Curve: It is a mathematical function that defines the relationship between a token’s price and its circulating supply. It allows for automated market-making by adjusting prices dynamically based on demand. As more tokens are purchased, the price increases along the curve, rewarding early buyers with lower prices while ensuring that latecomers pay more as demand rises.
Dynamic Pricing: The price of a token on Pump.Fun increases exponentially as more tokens are bought. This pricing model helps prevent market manipulation often seen in static pricing systems
Initial Token Supply: When a new memecoin is created, an initial supply—typically around 800 million tokens—is placed into the bonding curve, establishing a starting point for trading
Market Cap Threshold: Once a token’s market cap reaches $69,000, Pump.Fun automatically adds liquidity to Raydium, a decentralized exchange (DEX). This liquidity provision enhances trading efficiency and stability for the token
How Does Bonding Curve Work on Pump.Fun?
Token Creation: Users can create their own memecoins by defining parameters like name, ticker symbol, and image. The deployment fee is approximately 0.02 SOL, making it accessible to a wide audience.
Buying & Selling: When users buy tokens, they do so at prices determined by the bonding curve. As demand increases, so does the price. Users can sell their tokens at any time, locking in profits or losses based on current market conditions.
Liquidity Addition: Upon reaching the specified market cap, Pump.Fun deposits around $12,000 worth of liquidity into Raydium. This step not only stabilizes the token’s market but also allows it to be traded on other platforms, increasing visibility and potential for growth
Launch Your Own Memecoin on Blum Memepad Step-by-Step Guide
Besides Pump.Fun, you can also launch your memecoin on the Blum Memepad – a launchpad project on Tonchain. To launch your memecoin on the Blum launchpad for memecoins, you can follow the same ideation process as Pump.Fun.
Following are the steps to launch your memecoin on Blum
Visit the Blum channel on Telegram and click on Launch Memepad
Source: Telegram App
- To deploy your memecoin you will require some TON in your Toncoin wallets like Tonkeeper. Next, head to the Blum memepad from your Telegram app.
- Click on the “Launch Token” button.
- Now, fill in all the token details like the name, ticker, logo/image and write a brief description of your memecoin.
- Next, specify the initial amount of tokens you will purchase as the creator, which can range from 0 to 1000 TON.
- After reviewing all details, press the “Launch” button. Approve the transaction in your connected wallet and wait for confirmation.
- Once your token is live, promote it through your social media channels to attract buyers. Monitor the performance of your token through the Memepad interface, where you can track its value and market activity.
- Additionally, Memepad allows you to create, track, and grow your memecoin easily, making it accessible even for those without technical expertise. You can participate in trading by buying, selling, or swapping tokens within the platform’s marketplace.
How Memecoin Creators Make Money?
Memecoin creators on platforms like Pump.fun can generate revenue through several mechanisms, capitalizing on the unique dynamics of the memecoin market. Here’s how they make money:
Transaction Fees: Pump.fun charges transaction fees for each trade conducted on its platform. With significant trading volumes—over $4.15 billion in recent weeks—these fees can accumulate rapidly, contributing substantially to the platform’s revenue. In November 2024, Pump.fun reported nearly $82.8 million in monthly revenue, showcasing the financial potential of high transaction activity.
Token Launch Fees: Creators launching their own memecoins on Pump.fun may pay fees to utilize the platform’s services. This includes costs associated with creating and promoting their tokens, which can be a significant source of income for the platform.
Wrapping Up
Launching a memecoin has never been easier, thanks to accessible platforms like Pump.Fun and Blum Memepad. These tools empower creators, even without technical expertise, to tap into the vibrant and fast-growing world of memecoins.
By leveraging unique ideas, viral trends, and robust marketing strategies, anyone can create a memecoin that has the potential to capture attention and gain traction in the cryptocurrency market.