Why 86% of All Crypto Token Failures Happened in 2025
In 2025, an unprecedented 11.6 million crypto tokens failed, accounting for 86.3% of all failures since 2021, driven by massive project creation and market saturation.Summary
According to CoinGecko data, 2025 was the most destructive year for crypto token survivability, with over 11.6 million tokens failing, representing 86.3% of all failures since 2021. This collapse was fueled by an explosion in token creation, which grew from 428,383 projects in 2021 to nearly 20.2 million by the end of 2025, leading to severe market saturation, especially in the meme coin sector.
The failure rate accelerated sharply in Q4 2025, coinciding with a major $19 billion liquidation cascade on October 10, which exposed vulnerabilities in thinly traded assets lacking liquidity. The ease of launching tokens via platforms like Pump.fun lowered technical barriers but flooded the market with low-viability projects, creating what DWF Labs executive Andrei Grachev termed a "crime szn."
Experts suggest the cycle may continue into 2026 because frictionless token creation persists while market attention concentrates on Bitcoin and blue-chip assets, leading to ongoing "liquidity wars." This environment raises the bar for survival, suggesting that without changes to launch incentives or disclosure standards, the market risks repeating the pattern of rapid issuance followed by mass collapse.
(Source：BeInCrypto)