RAY rose by more than 22% in 24 hours: Raydium LaunchLab In-depth Research Report

Author: Spirit, Bitchain Vision

summary

Raydium LaunchLab is a new Meme coin issuance platform launched by Raydium, a well-known decentralized exchange in the Solana ecosystem.Its strategic significance lies in responding to the success of Pump.fun and the ever-changing dynamics of the Solana Meme currency market.Key features of LaunchLab include custom joint curves and flexible fee structures.This report aims to deeply analyze LaunchLab’s product design, mechanism characteristics, comparison with head multi-chain Launchpad, ecosystem comparison, evolution of relationships with Pump.fun, and the possible impact on the future MEME market.Preliminary analysis of the report shows that LaunchLab has the potential to have a significant impact on the Meme currency market and gain a place in competition with other Launchpads.

1. Raydium LaunchLabPlatform introduction

Raydium is the leading automated market makers (AMMs) and decentralized exchanges (DEXs) on the Solana blockchain.The core function of Raydium is to provide liquidity and facilitate decentralized transactions by allowing users to deposit token pairs into smart contracts.It plays a crucial role in decentralized transactions, ensuring deep liquidity and price efficiency.Unlike traditional AMMs, Raydium integrates decentralized order book Serum, which enables deeper liquidity and efficient price discovery.Raydium’s goal is to address issues related to decentralized AMM design, including high Gas fees, unnecessary failed orders, and liquidity fragmentation, and take advantage of Solana’s fast and low-cost trading characteristics.

The fundamental reason why Raydium launched LaunchLab is a direct response to Pump.fun’s growing popularity and success in the Meme coin issuance platform field.LaunchLab’s development is seen by Raydium as a key step in maintaining its relevance and profitability, especially considering that a significant portion of its revenue comes from Pump.fun.Raydium believes that the high fit between Pump.fun’s products and the market is attributed in part to Raydium’s infrastructure.The release is less than a month after Pump.fun suggests it will develop its own automated market makers (AMMs), which actually ends the informal partnership between the two platforms.

LaunchLabDesigned to provide more powerful features than Pump.fun, which has the potential to attract more users and projects.The goal is to provide an alternative for teams who do not want to develop contracts from scratch and Pump.fun users who prefer AMM v of Raydium for liquidity pool migration.The platform is designed to provide users with more powerful features than Pump.fun, including linear, exponential and logarithmic joint curves.

Raydium’s launch of LaunchLab demonstrates that its strategic focus shifts to direct participation in the Meme coin issuance platform space, reflecting its recognition of the importance of this market and its revenue potential in the Solana ecosystem.As a full-fledged DEX, Raydium already has the user base and infrastructure on Solana.This entry into the issuance platform area specifically for Meme coins shows that it has been well thought out to leverage the booming segments in its ecosystem.Direct competition with Pump.fun, which has been quite successful, implies that Raydium is interested in regaining market share or preventing further loss of existing revenue associated with Meme currency trading.

The launch coincides with Pump.fun’s hinting that it will develop its own AMM, which implies that Raydium has adopted a defensive strategy to preserve projects in its ecosystem.Pump.fun may establish its own AMMs to reduce its reliance on Raydium liquidity, which has been a major source of income for Raydium.By launching LaunchLab, Raydium preemptively provides a competitive platform in its ecosystem to attract new Meme coin projects and retain users who may migrate to the Pump.fun integration solution.This shows that Raydium has taken a proactive approach to maintaining its position in the Solana DeFi field.

2. LaunchLabProduct design and mechanism of the platform

The main features and functions of the LaunchLab platform include:

• Custom joint curve:LaunchLab will provide linear, exponential and logarithmic combined curves to match the demand and price of tokens.The joint curve determines the law of the price of tokens changing with supply, and LaunchLab allows custom curves, which provides greater control for token price discovery and allocation than other platforms may provide.These curves are designed to match the demand and price of tokens.

• Flexible fee structure:The platform will allow third-party user interfaces to set their own fees.This flexibility promises to make LaunchLab a more general token creation and management tool, potentially attracting developers and investors seeking more advanced features and custom cost structures.

• Multi-token support:LaunchLabA variety of quotation tokens besides SOL will also be supported.This adds a layer of versatility to projects with a wider preference for different basic transaction pairs.

• Integration with Raydium liquidity pool:LaunchLab provides direct access to the Raydium’s extensive liquidity pool.This feature promises to improve trading efficiency for token creators and investors by leveraging Raydium’s existing deep liquidity.

• Integration with Raydium liquidity provider lockout:LaunchLabIntegrate with Raydium’s liquidity provider lockout, allowing issuers to permanently lock on tokens       .This feature can incentivize liquidity provision by ensuring long-term rewards for LPs, thus contributing to the stability and sustainability of newly issued tokens.

• AMM vintegrated:For projects that are already familiar with or prefer Raydium’s AMM v, LaunchLab provides seamless integration.

The token issuance process on this platform is as follows: Raydium LaunchLab is essentially a token issuance platform built on Raydium DEX, aiming to facilitate the initial allocation and transaction of new cryptocurrency tokens.Setting up a liquidity pool on Raydium involves steps such as preparing to create a liquidity pool, connecting a wallet, navigating to the liquidity pool section, and adding liquidity.Raydium supports initial DEX offerings (IDOs) through its AcceleRaytor platform, enabling new projects to raise funds and allocate tokens directly to the community.In contrast, Pump.fun provides a code-free issuance platform solution that allows anyone to create and deploy tokens through an intuitive interface, with built-in liquidity and anti-running mechanisms provided through the joint curve.

LaunchLab’s emphasis on customization (joint curve, expense) suggests that its strategy is to attract more mature projects and developers than Pump.fun’s potentially simpler model.By offering a variety of joint curve options, LaunchLab allows projects to customize their token release and price discovery mechanisms based on their specific needs and market strategies.Similarly, the flexibility of setting fees for third-party user interfaces can incentivize integration and provide revenue sharing opportunities.This level of control and customization may be particularly attractive to experienced teams or those with specific token economic models, potentially differentiating LaunchLab from Pump.fun’s more standardized approach.

Integration with Raydium’s existing liquidity and LP lockout offers significant advantages in instant trading and potential long-term liquidity provider incentives, and Pump.fun may need to build these from scratch if it builds its own AMM.Raydium already has a large amount of liquidity for various trading pairs on its DEX.Introducing new tokens directly into this environment through LaunchLab can provide instant trading opportunities and reduce the risk of initial insufficient liquidity that new projects generally face.In addition, integration with LP lockout allows projects to incentivize long-term liquidity provision by locking transaction fees, which can attract more liquidity and help improve the stability and perceived value of the issued tokens.This built-in infrastructure gives LaunchLab a potential advantage over Pump.fun, which needs to attract and build its own liquidity even if it has its own AMM.

3.Comparison with the mechanism of head multi-chain Launchpad

• Mechanism comparison:Analyze and compare the token sales mechanism and fee structure of LaunchLab and established multi-chain Launchpads such as Four.MEME, Seedify.fund and Polkastarter.

• Four.MEME:Four.MEME, with its lowest token issuance upfront cost and fair issuance model, particularly attracts Meme coin projects with limited initial capital, while providing liquidity immediately on PancakeSwap, meeting the life cycle and community expectations of Meme coin.The platform allows anyone to issue tokens with minimal inspection, but the lack of a strong review process increases the risk of scams and low-quality projects.Four.MEME’s built-in community engagement feature promotes viral transmission, and ease of use is a significant advantage for cryptocurrency newbies and users who pursue fast trading fun.However, recent security incidents highlight the need for major security improvements on the platform.

• Seedify.fund:Focusing on blockchain games and meta-universe projects, leveraging first game releases (IGO), first NFT releases (INO), and first dimensional meta-universe releases (IMO).Using a hierarchical allocation system, users pledge Seedify Fund (SFUND) tokens to obtain participation in token sales, and higher-level users receive larger allocations and additional benefits.Public sales are also launched, with SFUND holders and non-holders participating.The startup provides Seedify with % of its total supply of tokens to cover costs and transfers a portion to SFUND holders as a reward.Public sales charges, and 5% of the fees are usually used for $SFUND repos.It mainly focuses on projects in the fields of web games, NFT and metaverse, and supports networks such as Binance Smart Chain (BSC), Ethereum, Polygon and Solana.

• Polkastarter:As a decentralized exchange (DEX), designed to conduct cross-chain token pools and auctions, providing a fundraising environment for projects without permission.Use a fixed exchange pool to exchange a fixed amount of tokens at a predetermined price.Holding and staking native POLS tokens can provide users with access to pools with higher demand and potentially lower fees.POLS tokens are the basis for transaction fees on the Polkastarter platform.While the platform is designed to achieve efficient transaction fees, the specific costs of launching a project may vary by pool type and any POLS staking incentives.With multi-chain support, including Ethereum, BNB Chain, Polygon, Celo, Avalanche and Polkadot, it allows projects to be launched on various blockchains.

• Raydium LaunchLab:A unique method is provided with a custom joint curve (linear, exponential, logarithmic) to manage the supply and start-up price of tokens.Allows third-party user interfaces to set their own fees, providing flexibility.Integrate directly with Raydium’s AMM for instant liquidity.The main cost structure includes customizable fees for integrated platform settings.Raydium itself charges a fee (.5 SOL) for creating new pools on its standard AMMs, and CP-Swap pools are also charged (again.5 SOL).The redemption fee (.5%) in the Raydium pool contributes to liquidity providers and RAY repos.Focusing mainly on the Solana ecosystem, leveraging the speed and low transaction costs of the Solana blockchain.

Table: Launchpad mechanism and cost comparison

LaunchLab distinguishes itself by providing a highly customizable token issuance mechanism and fee structure and direct integration with established DEXs, which may be attractive for projects seeking greater control and instant liquidity in the Solana ecosystem.Unlike Binance’s more standard subscription model or Seedify’s grading stake method,LaunchLab’s emphasis on joint curves and flexible expenses provides a unique level of control for token economics and issuance strategies.The tight integration with Raydium’s AMM further simplifies the process and provides an opportunity to get liquidity right away, which is crucial for the success of the new token.This combination of customization and built-in infrastructure makes LaunchLab a potentially attractive option for projects specifically targeting the Solana DeFi space.

While Polkastarter has performed well in cross-chain capabilities, LaunchLab’s Solana-centric strategy may appeal to projects that prioritize speed, low cost, and strong influence in the Solana Meme coin and DeFi community.

The advantage of Polkastarter is its interoperability among multiple blockchains.LaunchLab can cater to projects that value the specific advantages of the Solana network, such as its high throughput and low transaction fees, which is especially beneficial for Meme coins and DeFi applications.This specialization may make LaunchLab the platform of choice for projects that are deeply rooted in the Solana ecosystem.

• Ecosystem comparison:Evaluate the ecosystem around LaunchLab and its competitors, considering community engagement strategies, project review processes, success rates of issued projects, and supported blockchains.

• Seedify.fund:Cultivating a strong and focused community around blockchain gaming, NFT and the Metaverse.Implement a comprehensive project review process, including smart contract audits, market preparation assessments and due diligence to ensure the safety and feasibility of issuance projects     .Use a hierarchical system to inspire community participation and provide different levels of access to token sales based on SFUND holdings.Mainly supports projects on BSC, Ethereum, Polygon and Solana.

• Polkastarter:Promote community participation through governance mechanisms, allowing POLS token holders to participate in the decision-making process.Have a review process that includes project application, team interviews and token sale approval to ensure the quality of the hosted project.Known for its cross-chain capabilities, projects can raise funds on multiple blockchain networks and reach different investor communities       .

• Raydium LaunchLab:It is likely to take advantage of the existing DeFi user and trader community on Solana.The code snippet does not explicitly provide details of LaunchLab’s specific project review process, but it can be inferred that Raydium may apply its existing standards or develop new standards to ensure the quality and legality of the issued Meme       coins.Success will depend on the performance of attracting a focused community in the Solana Meme currency space and the projects issued.Mainly supports projects on the Solana blockchain.

LaunchLabThe success will largely depend on its ability to cultivate a strong and actively engaged community in the Solana ecosystem, especially in the Meme currency space, and attract high-quality projects, although the barriers to entry related to Meme currency issuance are usually low.Meme coins are essentially driven by community sentiment and online hype.In order for LaunchLab to flourish, it needs to attract and retain a vibrant community of creators and investors within the Solana ecosystem.Given the potential risks of fraud and runaway in the Meme currency space, establishing a transparent and effective project review process is critical to building trust and ensuring the long-term feasibility of the platform and its hosted projects.This will involve not only technical and financial due diligence, but also requires evaluating the credibility and community engagement programs of the project team.

Although Seedify.fund has established a global community and review mechanism,LaunchLab’s approach to the Solana ecosystem makes it possible to become a leading platform for Solana’s native Meme coin projects, provided it can provide unique advantages and build a reliable reputation.Seedify.fund focuses on gaming and meta-universe projects, which leaves a gap for the dedicated Solana Meme coin issuance platform.LaunchLab has the potential to fill this gap by providing custom features, leveraging Solana’s specific strengths, and building a community that understands the dynamics of Solana Meme coins.To achieve this, LaunchLab needs to clarify its value proposition and demonstrate its commitment to quality and user safety in this specialized market.

4. Raydium LaunchLabEvolving relationship with Pump.fun

• Trace the historical context of informal collaboration between Raydium and Pump.fun.

• Pump.fun     is a popular Solana-based Meme coin issuance platform. It initially had an informal partnership with Raydium. Tokens with a certain market value (, USD) on Pump.fun, some of its liquidity will be deposited into the Raydium trading pool and destroyed.

• Currently, only a few tokens issued on Pump.fun will be transferred to Raydium.

• In the past, Pump.fun’s liquidity pool contributed a considerable portion of transaction fee revenue to Raydium.

• Explain why Pump.fun develops its own AMM.

• According to reports, Pump.fun     is developing its own automated market makers (AMMs) to potentially challenge Raydium’s position as a leading decentralized exchange for Meme coins.

• The move aims to transfer pump tokens from Raydium, allowing Pump.fun to earn more fees or introduce new rewards for token holders     .

• By migrating its Meme coins to its own AMM, Pump.fun will vertically integrate the token issuance process and potentially increase its already impressive revenue       .

• XThe community speculates that this move may also pave the way for additional features such as Meme coin perpetual contracts and lending.

• Analyze how LaunchLab positioned Raydium in a new competitive landscape.

• Raydium launches LaunchLab       clearly shows that they are unwilling to give up their positions to Pump.fun in the Solana DeFi ecosystem, especially in the issuance of Meme coins.

• LaunchLab is positioned as a direct competitor to Pump.fun, aiming to redefine the issuance and trading methods of new tokens on Solana.

• Raydium aims to provide a platform that not only mimics but also improves Pump.fun capabilities, with enhanced features such as custom joint curves and flexible fees.

• Raydium’s core contributors say LaunchLab is not intended to replace Pump.fun, but rather provides more options for teams who don’t want to develop their own contracts and Pump users who prefer Raydium’s AMM v for liquidity pool migration.

• Analyze the potential impact on the two platforms and the Solana Meme currency ecosystem.

• Analysts predict that if Pump.fun continues to develop its own AMM, Raydium’s trading volume may drop by 5%-10%.

• Raydium       Competition between LaunchLab and Pump.fun is expected to intensify competition in the 2025 DeFi summer, fostering innovation and providing more options for projects and users     .

• Pump.fun       move could shake Solana’s DEX landscape, and if it runs its AMM independently, Raydium may feel the pressure, which could lead to a shift in market leadership.

Pump.fun’s development of its own AMM marks a possible disruptive change in Solana Meme coin infrastructure, challenging Raydium’s existing position as the primary liquidity provider of these tokens.For a long time, Pump.fun relied on Raydium’s infrastructure for post-release liquidity.By building your own AMM, Pump.fun is designed to control the entire life cycle of Meme coins from creation to transaction.This vertical integration may allow Pump.fun to earn more revenue generated from Meme currency transactions and potentially provide a smoother and integrated user experience.This development directly challenges Raydium’s previous symbiotic relationship with Pump.fun and requires a strong competitive response.

LaunchLab represents Raydium’s proactive response to this challenge, aiming to maintain its presence in the Solana Meme currency market by providing a competitive issuance platform with potentially more advanced features and direct access to its existing liquidity.Faced with the prospect of losing a lot of transaction volume due to Pump.fun’s development of AMM, Raydium’s launch of LaunchLab is a strategic countermeasure.By providing features such as custom joint curves and flexible fees,Raydium attempts to attract Meme coin projects that may prefer more control and more complex issuance mechanisms.In addition, direct integration with Raydium’s established liquidity pool provides significant advantages as the newly launched AMM, with the potential to attract projects and traders seeking instant and deep liquidity.The move shows Raydium’s determination to continue to be a key player in the Solana DeFi ecosystem.

5.Impact on the future MEME market

• Evaluate the potential impact of Raydium       LaunchLab on the Meme currency market.

• Token issuance convenience:LaunchLab and its customizable features and integration with existing DEXs may simplify the issuance process of Meme coins on Solana and provide an alternative to Pump.fun’s simpler codeless approach.This may attract projects seeking more control over the issuance parameter.

• Liquidity provides:Direct integration with Raydium deep liquidity pools may result in the newly issued Meme currency market being more stable and liquid than projects issued on new or less mature AMMs.This can reduce the risk of high price slippage for early traders.

• Community Engagement:The features and tools provided by LaunchLab will affect the effectiveness of the Meme coin project to build and attract communities on the Solana blockchain.Platforms that promote direct interaction and provide community-building tools are more likely to succeed.

• Competition and Innovation:The direct competition between LaunchLab and Pump.fun may drive innovation in the field of Meme coin issuance platform, which may lead to the development of new features, better user experience and a stronger anti-running mechanism.

• BNBChain Meme currency trend as potential indicator:The recent surge in Meme coin activity on BNB chains, driven by factors such as the listing of Binance Alpha and the participation of CZ and He Yi, suggesting that mature exchanges and their ecosystems have a significant impact on the Meme coin market.This shows that Raydium’s support can bring a similar boost to the Solana Meme currency market through LaunchLab.

• SolanaTechnical Advantages:Solana’s high transaction speed and low GasLaunchLab’s focus on Solana takes advantage of these advantages.

• Pump.funDemocratization of the creation of Meme coins:Pump.fun’s success in making it easy for anyone to create and issue Meme coins has greatly lowered the entry threshold for the Meme coins market.LaunchLab needs to find its position, possibly by focusing on projects that seek more advanced features or integrate more closely with the established DeFi ecosystem on Solana.

LaunchLab’s launch could further cement Solana’s position as a center for Meme coin activity, potentially attracting different types of creators and traders who prefer the features and integrations offered by Raydium over the more simplified approach to Pump.fun.While Pump.fun democratizes Meme coin creation through its simplicity, LaunchLab’s focus on customization and integration with Raydium infrastructure may attract more experienced users or projects with specific requirements.This could lead to a more diverse and mature Meme coin ecosystem on Solana to meet a wider range of participants.Competition between the two platforms may also drive innovation and further enhance Solana’s appeal as the primary network for Meme currency trading and development.

The ever-changing landscape, with mature participants such as Raydium directly competing with emerging platforms such as Pump.fun, suggesting that the Meme currency market may be maturing.This may lead to the issuance of Meme coins that focus more on factors other than viral hype, such as token economics, community building, and even potential practicality, so that Meme coins issued on these platforms can achieve continuous success.As the Meme currency market grows and attracts more attention, the initial sense of novelty may fade away.By providing more complex tools and integrations, platforms like LaunchLab may encourage creators to think more strategically about their Meme coin projects.This may involve a greater focus on building true communities, designing sustainable token economics, and even exploring potential use cases beyond pure speculation to form a more detailed and potentially less volatile Meme currency market.

6.Conclusions and suggestions

This article summarizes the main findings and highlights the advantages of Raydium LaunchLab, such as its customizable features, direct liquidity integration, and support from well-known DEXs.This article also points out potential disadvantages, such as the need to establish a dedicated Meme coin community and competition from Pump.fun.

Provide advice on:

• investor:Be careful when participating in Meme coins issued on any platform (including LaunchLab).A thorough study of project teams, token economics and community sentiment.Recognize the inherent high volatility and speculative nature of Meme coins.Focus on the development and adoption of LaunchLab in the Solana ecosystem.

• Project Developer:If the project requires a specific joint curve mechanism or is intended to obtain liquidity immediately on the major DEX, consider LaunchLab as a viable platform for issuing Meme coins on Solana.Take advantage of customizable cost structures and integration options.Focus on building a strong and actively engaged community.

• Raydium:Continue to innovate and enhance the capabilities of LaunchLab to attract projects and users.Focus on building a good reputation in reviewing and supporting high-quality Meme coin offerings.Actively interact with the Solana Meme coin community and seek feedback to improve the platform.Follow the strategies and success of Pump.fun and other competing platforms.