Solana’s Token Growth Plummets

Solana has experienced a whopping 88% plunge in token growth, according to fresh data provided by Dune Analytics.

Only 330,000 tokens were created in February, which represents a steep drop from more than 2.3 million tokens created in January.

The total number of unique crypto tokens increased only by an infinitesimal 0.8% on a month-over-month basis.

Prominent cryptocurrency analyst Conor Grogan noted that this is the lowest growth rate recorded to date based on available data. He believes that this rapid decline is due to waning activity of bot farms. Grogan stated:

> “As the majority of the tokens created are from bot/scam farms, this slowdown to me is a sign that the retail audience is no longer falling for as many scams, and thus the token farms are no longer as profitable to operate at scale.”

Earlier this month, Solana analyst Miles Deutscher remarked that the number of new Solana addresses had plunged by 53%, echoing the network’s peak decline last summer. Deutscher predicts that Solana could soon begin to reach a bottom in on-chain metrics.

Furthermore, as reported by U.Today, there has been a significant decrease in holdings among Solana (SOL) whales, adversely affecting the performance of one of the most prominent altcoins. According to CoinGecko data, the token is down a massive 30% over the past month.