Why most token launches will fail
The current model for launching crypto tokens is fundamentally broken — and hurting the entire Web3 ecosystem. 👇
Why?
Here are a few reasons from Mário Alves (CEO of Taikai & The Garden)
1️⃣ Hype Over Substance
Token launches today are optimized for attention, not sustainability. Projects chase short-term price spikes instead of long-term value.
2️⃣ The Data Is Brutal
- 72% of tokens launched since 2021 have lost 90%+ of their value.
- Only 8% of tokenized projects remain active a year post-launch.
3️⃣ Extractive by Design
The typical launch cycle:
Founder → VC entry at inflated valuations → Launchpad pumps hype → Early whales dump on retail → Token crashes.
Everyone wins — except the community.
4️⃣ Launchpads Are Expensive Middlemen
They take 5%–20% in fees + token allocations. Add in airdrops and OTC deals, and you've got a liquidity mess before TGE even happens.
5️⃣ Retail Is Left Holding the Bag
Presale investors dump 40–60% of the supply within 2 weeks of launch. Retail buys in last — and watches the chart collapse.
🛑 The result?
A short-lived pump, a long-term dump, and zero incentive for builders to stick around.
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