Cardano hits record trading volume with Snek.Fun launch

Cardano’s trading volume reached an all-time high with the launch of Snek Fun on September 5. The meme coin launchpad, introduced by SNEK and Splash on Cardano’s network, drove the platform to its highest daily trading volume.

The launchpad’s feature, which allows users to create tokens for as low as 25 ADA, has significantly spurred engagement and trading, driving Cardano’s network activity to previously unreached levels.

Snek.Fun sees user influx after launch

Snek Fun launched on Cardano a few days ago, attracting over 20,000 users in just the first 10 seconds. Within the first 24 hours after it launched, over 2,000 tokens had been released, and trading volume surpassed 5 million ADA.

Cardano founder Charles Hoskinson even congratulated Snek’s team on their accomplishments by posting a “well done” message, quoting one of Snek’s posts.

Well done https://t.co/ptETUHQKo3

— Charles Hoskinson (@IOHK_Charles) September 6, 2024

However, the platform’s launch was not without its fair share of challenges. Snek.Fun had experienced brief network congestion during its initial launch hours before quickly rectifying the holdup, allowing trade to resume.

Snek’s team commented on the network issue:

We take all responsibility for any issues. While we shared that some wallets and DEX’s are having issues, that doesn’t mean we are offloading blame. Ultimately, it’s our product and our responsibility. Don’t blame Cardano.

Snek

Despite the network problems, users seemed to approve of the platform’s token mechanisms. With Snek.Fun, when 75% of the token supply is bought and the market cap hits 42,069 ADA, 25% of the supply will then be added to a liquidity pool on Splash DEX. LP tokens are then burned to prevent the team from withdrawing liquidified tokens. 

Cardano believes Snek.Fun will promote its overall network

TapTools, Cardano’s analytics platform, noted that Snek Fun will facilitate the entry of new projects into the ecosystem, encourage experimental activities, and likely serve as a model for future community-driven projects on the network.

TapTools expects Snek.Fun will attract new users to the blockchain and encourage more on-chain activity, including the release of new tokens or increased participation in a token’s launch.

However, some crypto analysts, like Store Optimal, remain unconvinced of the platform’s durability. Optimal thinks that Snek.Fun only stands a chance to last longer in the market if it incorporates additional features like creator royalties and even a messaging system. However, he acknowledged that these were only his suspicions and invited any contrary opinions.

At the time of writing, Cardano’s 24-hour trading volume was $162,809,593, while trading at $0.33 represented a 5% price rise in just one day.