- Solana’s decentralized exchange Raydium is set to introduce LaunchLab, a launchpad for meme coins that may rival Pump.fun.
- This news comes on the heels of rumors that Pump.fun is in the process of developing its own AMM liquidity pools.
- A key contributor from Raydium has stated that LaunchLab is not intended to replace Pump.fun but to offer an alternative option.
The decentralized exchange Raydium, built on the Solana blockchain, is reportedly gearing up to launch LaunchLab, a fresh token launchpad that would provide an alternative to Pump.fun, as noted in a recent report.
Raydium aims to unveil a new platform for token creation as an alternative to Pump.fun
Raydium is preparing to roll out a new meme coin generator akin to Pump.fun, featuring some unique functionalities. The upcoming LaunchLab will operate similarly to Pump.fun, according to initial findings.
LaunchLab will present various pricing strategies—linear, exponential, and logarithmic—to modify a token’s price based on market demand. Additionally, it will give third-party users the ability to establish their own fee structures.
It is believed that Raydium has been developing LaunchLab for several months while maintaining a low profile. A core contributor to Raydium shared that LaunchLab is part of a broader array of tools the decentralized exchange intends to launch.
This contributor further clarified that the goal of LaunchLab is not to overshadow Pump.fun but to provide an alternative route for teams seeking variety.
The announcement comes about a month after speculation emerged that Pump.fun is also planning to launch its own automated market maker (AMM) liquidity pools.
These rumors suggested that Pump.fun was looking to transition tokens on its platform to its own AMM instead of routing them to Raydium.
Initially, when a token hits a market cap of $69,000, Pump.fun starts the liquidity addition process through Raydium. This allows Raydium’s AMM to benefit from more liquidity pools, boosting its trading volume and overall efficiency.
While Pump.fun has not officially addressed these rumors, they have had a significant impact on Raydium’s native token, RAY, which has seen a decline of over 65% in the last month.
Nevertheless, RAY has begun to show signs of a comeback, with a 15% increase noted in the past day following the rumors surrounding LaunchLab’s impending launch.
The introduction of LaunchLab could ignite a competitive landscape with Pump.fun, as both platforms work to innovate and attract meme coin creators and investors. As a result, this heightened focus could trigger a resurgence in the meme coin movement within the cryptocurrency market.
For instance, the rivalry between meme coins on Solana and Base has already sparked a meme coin craze in the second quarter of 2024.