In the ever-evolving world of cryptocurrency, a notable trend has emerged in 2025: the focus on projects with real, tangible use cases. This shift has led developers to launch both crypto and memecoin projects with the promise of practical applications.
According to our recent post on X, these projects often feature developers locking their tokens with vesting service providers as a sign of long-term commitment, aiming to build trust among potential investors. However, despite these efforts to establish credibility, the reality is stark—only a small fraction, perhaps less than 10%, of these initiatives manage to form robust communities and see their tokens grow in value.
The typical journey of a crypto project in this era can be quite disheartening. Scenario analysis from Cryptofic’s post reveals that many projects either fail to make progress on their proposed use cases or lack consistent updates, leading to scenarios where:
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Scenario 1: There’s little to no advancement in the promised use case, raising questions about the authenticity of these projects.
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Scenario 2: While a use case exists with demo projects to show for it, there’s a noticeable absence of active communication or development updates on platforms like X or Telegram.
In both cases, the outcome is often the same: holders become impatient, leading to a mass sell-off, which drives token values down to near zero. The developers, in turn, may become inactive or completely ignore the project, leaving the community in the lurch.
More distressing is Scenario 3, where projects experience a twist—developers might sell off their holdings, abandon the project, or engage in a ‘rugpull’. This phenomenon involves developers deleting their social media accounts after selling their tokens, often leading to the project’s demise. The aftermath sees holders quitting, with some attempting to take over the project (CTO), though success in such endeavors remains undocumented in these situations.
This volatile environment is further complicated by the sheer volume of scam tokens flooding the market. Recent reports suggest that a significant number of new tokens might be scams, emphasizing the need for investors to exercise caution. The allure of quick profits often masks the inherent risks, with many projects failing within 24 hours or slowly deteriorating over days to weeks.
Given this landscape, Cryptofic’s advice to investors is clear: traditional signs of a trustworthy memecoin project are no longer sufficient to guarantee sustainability. The volatile nature of cryptocurrency means that investments can plummet in value overnight, leading to substantial losses.
To navigate this risky terrain, investors must conduct thorough due diligence. Understanding the project’s team, the feasibility and uniqueness of its use case, and its market differentiation is crucial. This is particularly important in a space where regulatory oversight is limited, making personal research and skepticism key components of investment strategy.
In conclusion, while the crypto market in 2025 promises innovation and potential growth through projects with real-world applications, the path is fraught with challenges. Investors are encouraged to approach with caution, armed with knowledge, and prepared for the high-risk, high-reward nature of the crypto investment landscape.