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A current report revealed that over 50% of all crypto tokens have failed previously 5 years, with a major lower in token survivability over the previous yr.
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50% Of Crypto Tokens Have Collapsed
On Wednesday, CoinGecko published a report claiming that over half of the tokens registered in its Decentralized Trade (DEX) tracker, GeckoTerminal, have died previously 5 years.
The research examined the overall variety of crypto tokens as soon as listed within the DEX tracker with one commerce or extra earlier than going defunct.
Since 2021, almost 7 million tokens have been listed within the real-time tracker, with 3.7 million cryptocurrencies now not actively traded and thought of to have failed. In consequence, 52.7% of all examined crypto died, 86.5% failing between 2024 and early 2025.
In response to the report, 49.7% of all recorded undertaking failures between July 2021 and March 2025 occurred within the first quarter of this yr. By March 31, 1.8 million tokens had collapsed, representing the best variety of failures recorded in a single yr.
In 2024, almost 1.4 million crypto tasks failed, accounting for 37.7% of all collapses in the course of the analyzed interval. The variety of failing tasks has considerably elevated from 0.5% in 2021 to 25% in 2025’s first three months.
Nonetheless, CoinGecko famous that 2024 has the best variety of launches, seeing over 3 million new tasks deployed within the crypto market. Since 2021, the overall variety of tasks has skyrocketed by round 1,550%, going from 428,383 listed tasks on GeckoTerminal to almost 7 million crypto tasks.
Memecoin Frenzy Accountable For Most Failures?
The huge enhance in token launches was fueled by the launch of the Solana-based memecoin launchpad Pump.enjoyable, which facilitated the deployment of tokens. The platform’s creation led to a “flood of meme cash and low-effort tasks getting into the market.”
Notably, the beginning of this cycle’s memecoin frenzy noticed the launch of a whole lot of PolitiFi tokens, celeb tokens, and rip-off tokens, with many reaching market capitalizations of a whole lot of thousands and thousands in file time.
The report highlighted that crypto failures had been within the low six digits earlier than Pump.enjoyable’s launch, with solely 12.6% of all useless tokens between 2021 and 2023. By July 2024, stories revealed most celeb memecoins had crashed over 90% since launch, with the bulk basically “useless.”
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Amid the Q1 market retraces, most cryptocurrencies have seen a pointy value decline, with a number of the strongest tokens retesting month-to-month and yearly lows.
The current nosedive in token survivability could possibly be associated to the market exhaustion and market turbulence, which coincided with the launch of the official TRUMP and MELANIA memecoins and the LIBRA token scandal.
“This sharp decline in token survivability could also be linked to broader market turbulence, significantly following Donald Trump’s inauguration in January 2025, which coincided with a downturn within the crypto market,” the report concluded.
Featured Picture from Unsplash.com, Chart from TradingView.com