The fiscal success story is quickly unraveling, and the numbers are in — they’re not pretty. NFTEvening's study confirms what many suspected: memecoins are the only profitable sector in crypto this year. Where the most “serious” projects in RWAs, L1s and DeFi are bleeding value, Dogecoin knock-offs are printing it. Let's be clear, that 33.08% average profit isn't a sign of health. It's a flashing red warning light on the crypto industry's dashboard. It’s a high stakes torturous financial circus and we’re all clowns if we don’t admit the systemic rot hiding under all that paint. I am mad as hell, and you ought to be as well.

Is This Really the Future?

Is this truly the outcome that popular blockchain technology was intended to accomplish? A field day for corporate speculation, driven by hype and vacuous PR? Remember the initial vision? Decentralization, empowerment, a fairer financial system. As of June 11th, PumpFun by itself has released an astonishing 5.9 million memecoins. Most of these coins are just pump and dump schemes meant to line the pockets of a few, while every other sucker who buys it ends up losing their shirt. It’s a perversion of the original ideals.

The reality that 18.82% of meme projects were able to make their investors profitable, beating out AI (8.69%) and Layer 2 (6.14%) is honestly shameful. We’re incentivizing the ridiculous and stifling true innovation. Think about it: talented developers, working tirelessly on projects with real-world utility, are being overshadowed by coins named after internet memes. This is more than a market inefficiency, this is a major fundamental misallocation of resources.

I'm not saying memecoins are inherently evil. Other folks think they’re a blast, and that’s their right. Their dominance exposes a critical flaw. To me, it demonstrates that the crypto market—as it exists today—is fundamentally more speculative than anything else. It’s a casino mentality, and the house always wins.

Where are the Regulators?

The chaotic free-for-all atmosphere of memecoin trading is a fertile environment for scams and market manipulation. The daily launch rate of meme tokens has increased more than threefold from about 10,400 in 2024 to more than 36,000 launched in 2025. Who is looking out for the retail investor from these NFT rug pulls? Where are the regulators? It’s absurd that the SEC is spending its time chasing down legitimate projects while these kinds of blatant scams are still allowed to thrive unabated. It’s the equivalent of police arresting jaywalkers while ignoring bank robbers.

This is more than an issue of investor protection, it’s the long-term vitality of the crypto industry at stake. If we let these types of scams happen without challenge, then we are paving the way to damage the credibility of the whole space. Who is going to invest in legitimate crypto projects if everyone thinks the whole market is just a Ponzi scheme?

This regulatory uncertainty is more than the bane of a well-meaning industry. It’s a playground for nefarious actors. We don’t need quick solutions that burden investors with confusing and contradictory rules while stifling innovation. We will stamp out pump-and-dump schemes. We’re going to continue to push for increased transparency from memecoin projects and more accountability from market manipulators.

Systemic Risk, Systemic Failure?

The memecoin craze is no laughing matter though. It presents a serious systemic risk to all of crypto. What happens when the bubble bursts? And make no mistake, it will burst. Once the hype evaporates, once the liquidity disappears, millions and millions of investors will be left holding these tokens that are absolutely worthless. This would have the potential to set off a cascading effect, destroying investor confidence and making it harder to develop more sustainable, greener projects.

So the comparison to the recent dot-com bubble is indeed an apt one. In the late 1990s, investors dumped billions into internet startups that didn’t have a viable business model. When the bubble burst, it not only destroyed billions of dollars, it took the internet industry decades to recover. Otherwise, we risk making a similar error with crypto.

The answer isn’t a memecoin ban the answer is in building a healthier, more vibrant, more sustainable ecosystem. This means:

  • Focusing on Utility: Prioritizing projects that solve real-world problems and create tangible value.
  • Increasing Transparency: Requiring greater disclosure from crypto projects, including information about their team, technology, and financial performance.
  • Promoting Education: Educating investors about the risks and rewards of crypto investing, so they can make informed decisions.
  • Stronger Regulation: Implementing sensible regulations that protect investors without stifling innovation.

It’s time to move the conversation beyond hype and into substance. From speculation to innovation. From memes to meaning. If we don't, the memecoin craze will be remembered not as a harmless joke, but as the beginning of the end for the crypto revolution.