A new wave of meme coins has landed on Avalanche, creating opportunities for huge profits.

In a short-term, Avalanche has become an attractive destination for a new wave of cryptocurrency speculation, especially in the world of meme coins. This not only reflects the appeal of Avalanche to retail investors but also highlights the emergence of The Arena — a decentralized exchange and token issuance platform that is quickly drawing attention from the crypto community.

The Strong Growth of Avalanche

Data from DefiLlama shows that trading activity on Avalanche reached a record level with over 430,000 active addresses on May 11, while the daily transaction volume consistently maintained above one million transactions throughout June, a significant increase from the 300,000 transactions per day at the beginning of the year. This is a clear sign of a surge in activity on this network.

Number of addresses on Avalanche | Source: DefiLlamaAlthough it is difficult to accurately determine the number of users, as some traders may use multiple wallets, on-chain indicators still show a strong increase in transactions and participation from retail investors.

The Arena: Simple memecoin model with great profit potential

Launched in May, The Arena is a platform that allows users to easily create and trade tokens, requiring just a meme and a social media post. This is reminiscent of Solana's pump.fun model, where users can quickly issue memecoins and profit from their popularity. On this platform, tokens like LAMBO and WOLFI have quickly drawn attention, reaching market capitalizations of 50 million USD and 20 million USD, respectively.

With the ability to easily create meme coins, The Arena has helped create tokens with a market value of over 10 million USD right from the very first days. Notably, on June 11, The Arena accounted for about one-third of the total active wallets on Avalanche in the past 30 days, an impressive figure that demonstrates the strong draw attention of this platform to the trading community.

Source: DappRadarThe Arena is not only a token trading platform but also opens up opportunities for creators to earn money. By utilizing a tipping system and airdrops, users can monetize their posts and interactions. This is a step forward in combining creative content with the cryptocurrency space, allowing creators to increase their income from their community.

After arena.trade launched on May 6, the platform quickly drew attention. The native token of The Arena recorded strong growth, increasing by over 400%, reaching a market value of approximately 25 million USD by June 9. The inflow of funds into this platform also saw impressive growth, rising from 660,000 USD to over 8 million USD, and transaction fees reached their highest level of the year, exceeding 110,000 USD on June 13.

Popular memecoins and growth rate

One of the biggest success stories on this platform is LAMBO. Launched on June 7, LAMBO quickly reached a market value of 50 million USD before dropping to 35 million USD on June 16. WOLFI, another meme coin launched on June 11, hit 20 million USD in a few days but has now also dropped to 5 million USD.

Jason Desimone, CEO of The Arena, shared:

"There are many tokens competing to reach a nine-figure market cap, and every day a new token joins the 1 million USD club."

Since its launch, The Arena has issued an average of over 1,000 tokens per day. On June 19, this platform created approximately 1,800 tokens, while its competitor pump.fun from Solana issued up to 25,000 tokens. This shows that The Arena is growing rapidly and providing stable profit opportunities for participants.

Source: BlockworksAnother noteworthy point is the profit rate on The Arena. About 82.6% of the wallets trading on this platform are profitable, an impressive figure compared to pump.fun, where most users are facing losses, with over 50% of traders not making a profit and one million wallets making profits under 500 USD.

Source: arenastats.xyz## Future Prospects

Although The Arena is witnessing impressive growth, it cannot be denied that the memecoin market is highly volatile. Tokens like LAMBO and WOLFI have experienced wild fluctuations, and the excitement from speculators can increase the risk for careless retail investors.

Since reaching its peak on June 9, the native token of The Arena has decreased by about 13%, from 25 million USD to 13 million USD, indicating significant volatility in the short-term. This also serves as a reminder that, although the profit-making opportunities are very attractive, participants need to be cautious of the high level of risk in the crypto market.

The emergence of The Arena has created a new wave in the crypto community, especially for the meme coin market. With an easily generated and traded token model, along with the opportunity to earn money through interaction and content creation, The Arena is attracting a large number of users and becoming a major platform on the Avalanche network.

However, like all forms of investment and speculation, participants need to carefully consider and understand the potential risks involved in investing in meme coins and decentralized trading platforms.

Emma