TRX’s recent price surge is largely driven by the exceptional performance of meme coins within its ecosystem, especially SUNDOG, built on the Tron blockchain. SUNDOG’s price skyrocketed 1,000-fold in just a few days, with its market cap soaring from $2 million to over $200 million, garnering widespread market attention.
Furthermore, the Tron ecosystem, SunPump ecosystem, and HTX achieve resource sharing and benefit maximization through a multi-layered linkage mechanism among them. This mechanism creates a tightly-knit ecosystem loop between SunPump, HTX, and TRON, which reinforces their respective market positions and also brings greater development potential for the entire ecosystem.
SunPump vs. Pump.fun: Tron Captures Market Share from the Solana Ecosystem
SunPump is the first platform on TRON for the fair launch of meme coins, designed to provide the market with a decentralized, transparent platform with equitable mechanisms for meme coin issuance. Its innovation lies in the fair launch mechanism, which ensures that all users can equally invest in the project in the early stages through smart contracts and on-chain verifications. In addition, SunPump has introduced a promotion offering up to a 99% reduction in Gas fees, significantly lowering users’ transaction costs and boosting market engagement.
SunPump is targeting Solana’s Pump.fun. Following its launch in February 2024, Pump.fun experienced a rapid increase in user base and activity by mid-March. In just six months, the platform’s daily revenue exceeded Ethereum’s on multiple occasions.However, Pump.fun now faces its toughest competitor.
Since Justin Sun introduced SunPump, its growth has been unstoppable. The meme coin SUNDOG, fair launched on the platform, has surged over a thousand times and is also listed on major exchanges like HTX.
“Our team, dedicated to building meme coin infrastructure on the TRON network, has been incredibly focused and the feedback from the community has been amazing. I had faith in SunPump, but I didn’t expect our trading volume to hit 30% of Pump.fun’s in just 10 days. Now, we’re aiming to surpass them,” Justin Sun talked about SunPump’s recent growth during a live AMA session, expressing strong confidence in its future.
On August 21, blockchain researcher Adam Tech tweeted on X that SunPump’s revenue and the number of new tokens were both higher than those of Pump.fun at the close of the day.
*Data from August 21
SunPump has shown impressive growth in user acquisition and trading volume. Although Pump.fun maintains an edge in user base and market recognition, SunPump’s rapid expansion signals a gradual migration of users to the TRON network. This shift is driven not only by SunPump’s advantages in transaction fees, speed, and community support but also by the extensive backing it receives from the TRON ecosystem.
On August 21, SunPump raised approximately 3.65 million TRX, equivalent to roughly 567,000 USDT, by issuing 7,531 meme coins. This amount surpassed the revenue generated by Pump.fun, which earned over 2,575 SOL, valued at more than 368,000 USDT, from the issuance of 6,941 tokens. SunPump has recently surpassed Pump.fun in daily revenue, marking a significant milestone in the memecoin market.
In a tweet on August 22, Justin Sun announced that the transaction fee for SunPump on the TRON network has dropped to 0.76 TRX per transaction, averaging about $0.118. This competitive rate is expected to be further reduced with additional fee-cutting plans. He also emphasized that the TRON network aims to become the most competitive in terms of transaction fees.
SunPump, by leveraging the TRON ecosystem, has emerged as a standout player, steadily claiming a share of the meme market once led by Solana. Its compelling platform strengths and forward-thinking innovation have attracted a surge of new projects and growing investor interest, further fueling the overall advancement of the TRON ecosystem.
The Tron Ecosystem Experiences Strong Growth in Q2, Fueling a Frenzy of Meme Coin Enthusiasm
Data from Messari shows that TRON is one of the few smart contract platforms that saw continuous increases in on-chain events (transactions, active addresses, new addresses, etc.) in the second quarter. The average daily transaction volume on it increased by 29% quarter-over-quarter, from 4.8 million to 6.3 million. June’s transaction volume (202.6 million) was the highest of any month in 2024. The average daily active addresses grew by 31% quarter-over-quarter, from 1.5 million to 2 million.
In the second quarter, TRON remained the second-ranked network in terms of TVL. The top three protocols by TVL on TRON were JustLend, JustStables, and SUN.
In the first quarter, DEX events on TRON reached their highest levels in years due to the “meme coin frenzy” and the recovery of the bull market. Essentially, all DEX trading volume on TRON occurred on SUN.
In June 2023, SUN introduced a concentrated liquidity (CL) AMM into its product suite (SunSwap V3). Since the launch of SunSwap V3, the first quarter of 2024 marked the first time that most of the trading volume on SUN was conducted through the V3 AMM. This trend continued in the second quarter, with SunSwap V3 processing $2 billion in trading volume, accounting for approximately 67% ($2.4 billion) of all DEX trading volume on TRON in the second quarter.
On August 13, the beta version of SunPump, a sub-product launched by SUN.io, a well-known DeFi platform on the TRON chain, went live. On August 15, TRON and SunPump jointly launched a $10 million Meme Ecosystem Boost Incentive Program.
As the first platform on the TRON chain for the fair launch of meme coins, SunPump not only fills the gap for a “one-click token generation” platform in the TRON ecosystem but is also expected to leverage TRON’s unique advantages to trigger a new wave of Meme coin enthusiasm.
The widespread adoption of meme coins undoubtedly injected new vitality into the Tron ecosystem, becoming an important driving force for its continued growth.
According to data from Dune, a data analysis platform, the number of tokens issued on the SunPump platform has skyrocketed in a short period, reflecting both the market’s high enthusiasm for meme coins and Tron’s ongoing progress in technological innovation and user attraction.
\* Dune data shows a recent surge in the number of tokens issued on SunPump
Moreover, with the successful launch of SunPump, Tron’s daily revenue has been climbing steadily over the past few days, demonstrating its solidifying market position in the competitive crypto market. The successful deployment of meme coins has not only brought direct economic benefits to Tron but has also further consolidated its influence in the blockchain ecosystem. The chart below shows Tron’s recent continuous increase in protocol revenue.
\* Tron’s recent continuous increase in protocol revenue
The Multifaceted Impact of SunPump on TRX and HTX Prices
The memecoin frenzy in the Tron ecosystem is becoming a significant driving force behind the rise in TRX’s price. According to data from IntoTheBlock, the number of transactions valued between $100 and $10,000 in the Tron DAO ecosystem surged by 124%, likely driven by the hype effect brought about by SunPump.
Over the past 30 days, the price of TRX has risen by more than 19%, while Bitcoin (BTC) and Ethereum (ETH) have fallen by 11% and 26%, respectively. In contrast, Solana (SOL), Tron’s competitor in the meme coin frenzy, fell by 17% over the same period.
During the launch of SunPump, Tron founder Justin Sun stated on the X platform that he expected a wave of meme coins on TRON to land on centralized exchanges, which could trigger FOMO sentiment in the market. SunPump has not only driven up the price of TRX but has also had a positive impact on other products in the Tron ecosystem. For example, trading fees from SunPump and Sun.io are used to buy back and burn SUN tokens, and Sun.io’s trading volume has increased by nearly 20 times since the launch of SunPump.
Meanwhile, the outstanding performance of SUNDOG, a standout meme coin on SunPump, has further contributed to the surge in token issuance on the platform.
On August 18, the number of meme coins on Tron was less than 6,000, but according to data from Dune Analytics, this number has now jumped to 13,815. If this growth trend continues, liquidity from the Solana ecosystem may gradually shift to SunPump, further driving up demand for TRX.
Furthermore, the linkage mechanism between SunPump, HTX, and TRON allows them to share resources and maximize benefits through multiple layers of interaction. First of all, the SunPump platform charges a trading fee of 1%, which is paid in $TRX and subsequently burned. This mechanism effectively reduces the circulating supply of $TRX in the market, driving up its price and promoting the development of the entire TRON ecosystem.
\* Recent growth of TRON’s TVL
When the internal liquidity pool (internal market) of SunPump is filled, users can directly trade on SunSwap, which is a decentralized exchange on TRON. The trading fees generated on the decentralized exchange will be used to buy back and burn SUN tokens. This operation not only reduces the supply of SUN tokens, helping to increase their market value, but also indirectly drives the buyback and burning of $HTX through the pegged relationship between $SUN and $HTX. Consequently, the value of $HTX will also increase.
This multi-layered linkage mechanism creates a tightly-knit ecosystem loop between SunPump, HTX, and TRON, strengthening their respective market positions and bringing greater development potential to the entire ecosystem. Through this mutually beneficial approach, all three parties expand their influence and gain significant market presence in their respective domains.
Final Thoughts:
In the cryptocurrency industry, the rise of meme coins is often seen as a fleeting phenomenon and even criticized as disruptive to the market. However, the deeper factors behind the success of certain meme coins are community power and the spirit of decentralization.
Therefore, despite the controversies surrounding meme coins, the community-driven logic and decentralization principles behind them may herald a new trend in the cryptocurrency industry. This trend not only represents a challenge to the traditional financial system but also provides unique opportunities for a new generation of investors and developers.
In the future market, participants who understand and embrace this new trend may gain an advantageous position in this constantly evolving industry. For assets like $TRX and $HTX, their success depends not only on market hype but also on their ability to continue to closely integrate with community power and promote long-term decentralized development.
The post first appeared on HTX Square.
