Crypto Token Apocalypse: Most Tokens Headed to Zero

The cryptocurrency market has experienced an astronomical growth in the number of tokens created, ranging from 37 million to 120 million depending on the data source. However, a closer examination of these tokens reveals that most are destined to fail.

Research by Memento Research found that 84.7% of token generation events (TGEs) in 2025 were trading below their initial offering price, with a median drop of 71%. Even the most well-resourced projects resulted in losses for 85% of buyers, leaving little hope for the remaining tokens.

The market follows a power-law distribution, where the top ten cryptocurrencies hold over 90% of the total market capitalization. This means that focusing on mainstream assets like Bitcoin and Ethereum is a more reliable strategy than searching for hidden gems among the millions of tokens created.