The Huge Number of Tokens Hitting the Market is Sparking a Debate

Widely followed crypto commentator “Lady of Crypto” expressed concerns about the number of unproductive crypto assets in circulation.

A crypto debate is heating up over the huge number of tokens hitting the market. Widely followed crypto commentator “Lady of Crypto” expressed concerns about the number of unproductive crypto assets in circulation.

However, Binance founder Changpeng Zhao (CZ) joined the conversation by stressing that innovation sometimes needs failure to succeed. He referenced Amazon’s (NASDAQ:AMZN) rise, saying trial and error helped the e-commerce giant succeed.

What Does Lady of Crypto Say About This Token Flood?

In a post on X, Lady of Crypto drew attention to the large volume of low-value tokens in the crypto space.

“99.9% of cryptos should not exist. I hope they don’t come back after we recover. I want to like y'all but come on. Less is more. Quality over quantity. Blah blah blah. Anyway, hope y'all had a good Friday and good luck with whatever tokens you're playing,” she stated.

Her statement reflects growing frustration over the number of inactive, scam-related, or redundant coins cluttering major exchanges and databases.

What’s CZ’s Take on This Token ‘Clutter’?

Acknowledging these concerns, CZ framed them as part of innovation’s necessary trial-and-error process. He stressed that progress in new fields like crypto inevitably includes setbacks, failures, and even scams.

But comparing this to a familiar example, he said that early e-commerce also saw failures, which ultimately helped Amazon succeed.

“Without other companies failing in e-commerce, Amazon might not be where it is today. Survival of the fittest. Positive force will win in the long run,” CZ said.

Just How Big is This Token Flood?

To put this in perspective, CoinMarketCap currently tracks over 13.83 million crypto assets, though many show little activity or have been abandoned.

The creation pace is also rapid. In the past day, no fewer than 115,408 tokens have been launched, bringing the weekly figure to 534,270 tokens. In the past month, 1,678,747 tokens have been launched, echoing Lady of Crypto’s sentiment.

Solana (CRYPTO:SOL) is the dominant blockchain for newly created cryptocurrencies, securing a staggering 62.31% market share, placing it far ahead of competitors like Base (CRYPTO:BASE) with 16.08% and Binance Smart Chain with 13.90%, according to CoinMarketCap data.

This leaves Ethereum (CRYPTO:ETH) in fourth place with 3.29%, and SUI and other chains together have less than 5%. This data signals a major shift in developer preference, with Solana being the chain of choice for launching new digital assets.