WOO X Research: Raydium duel Pump.fun, LaunchLab really has a wealth-making effect?

Author: WOO

Raydium is the head Dex on Solana, while Pump Fun is the largest Launchpad. Interestingly, although they have different tracks and businesses, they still attack each other in an attempt to earn more revenue.

First, Pump Fun launched PumpSwap, with daily trading volume stabilizing by US$400 million recently, approaching Raydium's $600 million daily trading volume. Raydium official pointed out that Pump Fun has contributed up to 41% of its AMM revenue in the past month, but after Pump Fun built its own PumpSwap, Raydium's traffic has dropped sharply and was forced to launch LaunchLab to "regain liquidity dominance."

What is the difference between LaunchLab and Pump Fun? Let WOO X Research take you to see what other projects are worth noting.

LaunchLab Basic Introduction

LaunchLab launched by Raydium is essentially "zero code coin issuance tool + automatic liquidity migration service", with two main usage modes:

• JustSendIt mode: Open users to create tokens with one click, preset 85 SOLs are required. After the fundraising is successful, it will automatically be moved to Raydium's AMM and burn the LP token to achieve liquidity lockout.
• LaunchLab Pro mode: You can customize the total amount, and you can customize the minimum 30 SOL to issue, bonding curve slope, attribution conditions and whether AMM distribution can be enabled (up to 10% transaction fee can be reimbursed to the project party).

In terms of fee structure, Raydium charges a 1% basic handling fee, of which 50% is added to "Community Pool", 25% is used for $RAY repurchase, and 25% is used as infrastructure and operation funds.

LaunchLab also allows third-party interfaces to access their backend services and establish their own coin issuing frontend. The most famous of them is cook.meme

cook.meme is the first "meme coin issuing platform to use LaunchLab contracts but build its own UX front-end. It focuses on zero fees, instant transactions and a simple UI. It attracted many developers to try it as soon as it was launched. It is positioned a bit like a UI copy of Pump Fun, but the underlying layer binds Raydium's liquidity.

Raydium adopts such an open model, with the purpose of not just diversion, but replicating the content and ecological flywheel built by Pump Fun from the front end of the community.

LaunchLab VS Rump.fun

Key projects

When LaunchLab is turned on, the most direct benefit is definitely $RAY (25% of the fee repurchase), and after LaunchLab was announced, the price of $RAY rose by about 8%. If LaunchLab can continue the craze, $RAY's repurchase will become higher and higher. When demand exceeds supply, there will be an opportunity for price to rise.

The life cycle of LaunchPad depends on how many "golden dogs" can be generated. When the platform continues to create wealth, user assets will naturally be concentrated on the platform. After asset intensiveness, the chance of a golden dog will also increase, eventually forming a positive flywheel closed loop.

Therefore, the first step of the flywheel is to have Golden Dog first, but unfortunately, within 24 hours of LaunchLab launch, the graduation token only $TIME had a market value of more than $1 million. Although the market value of other tokens such as $ARUA, $Gaydium, etc. soared in the early stages of its launch, the market finally decided to push up the single market value token.

So what are the narratives of $TIME, $ARUA and $Gaydium respectively?

As mentioned above, Raydium allows third parties to connect to their routes to build platforms and issue coins. Currently, the three platforms Raydium, Cook.meme and Pump Fun Robinhood cooperate with them, and $TIME is the first meme coin created by Cook.meme; Raydium's own coin is $ARUA, which is earlier than $TIME, but is launched later.

In addition to the homophonic meme, the developers of Raydium placed the contract address of $Gaydium in Rytdium's GitHub, but deleted it less than an hour later, causing the token to plummet.

$TIME

• Current market value: 6 million
• Maximum market value: 8.5 million
• 24 HR Trading Volume: 30.2 million
• Number of holders: 7,600

Conclusion

Raydium's LaunchLab seems to be a "belated counterattack", but the overall design has made a systematic response to the advantages of Pump Fun. It not only provides a customized coin issuance model, but also expands an open front-end strategy represented by cook.meme. The goal is to bring traffic, handling fees, and narrative back to the Raydium ecosystem.

However, whether LaunchLab can really make money and reignite a wave of meme craze still depends on three core elements:

• Whether it can produce strong enough popular projects;
• Is the handling fee and liquidity design friendly to retail investors;
• Can the ecosystem quickly gather front-end tools and create network effects?

Although it seems that all three elements need to be worked on, LaunchLab has only been open for less than a month, so it would be too arbitrary to declare the platform failure. The currency circle is ever-changing. Perhaps the next hundred-fold meme will be born on LaunchLab, so let's wait and see.