In the fast-paced world of cryptocurrency and blockchain, launching a new project seems straightforward on the surface. But as Solana Legend, co-founder of Frictionless Capital and MonkeDAO, pointed out in a recent tweet, the real hurdles lie elsewhere.

People vastly underestimate how difficult it is to bootstrap liquidity for a new trading venue or blockchain and how difficult it is to attract organic traders and users that will use the platform every day

Many people can stand up a product but very few can solve the hard parts

This insight, shared on X (formerly Twitter), resonates deeply in the meme token space, where hype can launch a coin but sustaining it requires much more.

Understanding Liquidity Bootstrapping in Blockchain

Liquidity refers to how easily assets can be bought or sold without causing massive price swings. In blockchain terms, especially for decentralized exchanges (DEXs) or new chains, bootstrapping liquidity means creating initial trading pools—think of it as filling a swimming pool before inviting swimmers.

For meme tokens on platforms like Solana, this often involves liquidity pools on DEXs such as Raydium or Jupiter. Creators might lock up tokens and pair them with SOL or USDC to enable trading. But here's the catch: without real users, that pool dries up fast due to impermanent loss or low volume.

Why is it so tough? Network effects play a huge role. Established chains like Ethereum or Solana already have millions of users, developers, and liquidity providers. A new venue must compete by offering better fees, speed, or incentives—but incentives alone (like airdrops) often attract "farmers" who dump and leave, not loyal users.

The User Acquisition Puzzle

Attracting organic traders—real people who trade daily without constant rewards—is even harder. It's not just about marketing; it's building trust, usability, and community.

In the meme token world, we've seen countless launches on Solana pump to millions in market cap overnight, only to crash when the initial hype fades. Projects like Bonk or Dogwifhat succeeded by fostering genuine communities through social media, events, and integrations. But for every success, hundreds fail because they can't convert one-time speculators into daily users.

Solana Legend's point highlights a key lesson for blockchain practitioners: focus on solving distribution and retention early. Tools like Telegram bots for trading or NFT integrations can help, but nothing beats organic growth through word-of-mouth and utility.

Lessons for Meme Token Creators

If you're building in the meme space, take this to heart. Start small: bootstrap with your own community, perhaps through DAOs like MonkeDAO. Use platforms with existing liquidity, like Solana's ecosystem, to leverage their user base.

Monitor metrics beyond price—look at daily active users (DAUs), transaction volume, and holder retention. Resources like Dune Analytics can help track these on-chain.

Incentives are a double-edged sword. Reward programs can kickstart activity, but phase them out gradually to ensure users stay for the value, not just the freebies.

Community Reactions and Broader Implications

The tweet sparked agreements from the crypto community, with replies emphasizing the "grind" of user acquisition. One user noted, "Building the tech is the easy part—getting real, consistent users is the grind." This echoes sentiments across web3, where products abound but adoption lags.

For emerging blockchains aiming to rival Solana or Ethereum, the message is clear: invest in ecosystem grants, developer tools, and partnerships to build that flywheel of liquidity and usage.

At Meme Insider, we track these dynamics to help you navigate the meme token landscape. Whether you're a trader or builder, understanding these challenges can turn underestimation into opportunity.

Stay tuned for more insights on blockchain innovations and meme token strategies. If you're launching a project, remember: the hard parts are what separate the legends from the rest.