Solana AI Hackathon Alpha Continues, Organizers Issue a Callout: "No More Hype!"

Original Article Title: Solana AI Hackathon and Token Launches—Note to Builders and Investors
Original Article Author: yashhsm, Crypto Kol
Original Article Translation: zhouzhou, BlockBeats

Editor's Note: This article criticizes the current phenomenon of token abuse in the Crypto x AI field, pointing out that many projects hastily issue tokens for short-term hype, leading to neglect of long-term development. It calls on developers not to blindly follow trends but to focus on practical product development, while also warning about the complexity of token management and potential risks.

The following is the original content (slightly reorganized for better readability):

When we started this hackathon, my vision was simple: to make Solana the AI Chain and achieve 10x growth.

Hosting a hackathon was the best way I could think of—bringing everyone together while diving into the cryptocurrency and AI agent field that I am very bullish on.

Over the past month, I can confidently say that the "SoHana AI Hackathon" has not only become a strong brand but has also completely transformed the Solana agent ecosystem. In just 15 days, over 400 projects emerged, which was no easy feat. I am immensely proud of the team; they contributed to increasing the Solana token market cap by $5-10 billion.

Of course, from the outset, we knew that due to this unique trend of cryptocurrency and AI agents, there would be token issuance. This is not an issue if developers use tokens as a means of capital formation to build excellent products. We also carefully designed all 8 tracks (with absolutely no sponsor intervention) to encourage the development of truly useful agents.

However, we never imagined that this would turn into a speculative gambling arena. For example, the solanaaihackathon.com/projects page alone attracted over 40,000 visitors in a week. Now, 2-3 hackathon projects are issuing tokens worth $50 million each day, with a total value exceeding $500 million. Unintentionally, the Solana AI Hackathon has become an AI token discovery platform.

Current Situation or Operation Guide

1. Submit the project in a hackathon and appear in the Solana AI Hackathon project directory.

2. Boost credibility with the Solana AI Hackathon/SendAI.

3. Issue a token to be whale and KOL-focused and promoted, instantly achieving a $5 million to $50 million issuance.

4. Speculators see this as a hackathon project that could potentially achieve a 100x return, early entry—perfect speculation ground.

This is not new—typical power law distribution driving speculation.

While seeing some developers issue tokens and use them as a means of fundraising is a good thing, like any popular trend, this bubble has already overinflated. Although this model is closer to a fair launch (similar to an ICO), in my opinion, this is not the best direction for us to develop.

Issues with Over-Tokenization

The current trend is making developers short-sighted:

1. Currently, 90% of Crypto x AI projects are similar to meme coins like Dogecoin, as long as the project team is transparent about this, it's completely acceptable. However, those that promote the token as a "utility token" are more hypocritical.

2. This trend may cause long-term harm to real developers (especially marginalized groups)—they are forced into short-term development.

3. Most agency/infrastructure projects have found that tokens are the best way to attract attention:

Token surge → Agency/Framework in the limelight (but no actual users) → Token surge → Everyone happy.

Many projects simply release random announcements or demos (even with a market cap exceeding $2 billion), catering to speculators for quick price pumps, and then whales/small groups promote these tokens as "amazing technology," eventually dumping the bags on retail investors.

Many developers are well aware that their products cannot be mass-produced or practically applied, so they just keep releasing demos or random "X x Y" announcements. Ask which ones are truly live, scalable, and fully on-chain agency-type products—I can wait.

Whales/KOLs Worse Than VC

Whales and small groups have made this game very dirty, they will front-run the supply, or convince developers to allocate tokens, then pump through false narratives ("Backed by XX"—actually just a retweet with "great tech"), promote within the speculative community, and then continuously dump (or eventually dump), harming retail investors and developers. Their tokens are fully unlocked—because of this issuance method.

Advice for Developers

Do not issue a token just for the sake of issuing a token, especially when your own holdings represent less than 5%. Trust me, when the price starts to drop, you will not have any motivation to continue development.

Yes, the token will experience a short-term pump, and you will enjoy the brief moment of issuing a $50-100 million token, but when the price retraces, you will lose the motivation to keep building—left with only a group of hodlers expecting you to "keep building."

Remember, a token is an asset technically, but emotionally, it is a massive burden. Issuing a token is easy, but managing a token is a very complex process—and not fun at all.

The community, KOLs, and small groups will not help when the price is dropping—you will be on your own.

If you truly need seed capital, you can issue a token, but do not rush into it just to follow a trend.

Ask yourself: "Even if the token's market cap drops below $500,000, will I continue building this project in the next 6 months?" If the answer is yes, then go ahead and issue the token.

View on Hackathon Developers and Speculators

Developers who have issued visionless tokens: Good luck managing it, let's revisit in 6 months. If you are a visionless opportunistic developer who issued a token just to cater to speculators—I will not respect you as a developer at all. Even if your token reaches a market cap of $100 million or $500 million, when the time comes, I will directly criticize you.

If you have not issued a token yet, stay strong, put "no token" in your Twitter bio, never hint at a token issuance. Focus on development and delivery, without worrying about false token launches.

My advice to KOLs and speculators is this: Crypto x AI KOLs, please be responsible for the content you promote, especially regarding tokens. Guide developers not to allocate token shares or chase influence for short-term gains. Speculators, do not blindly buy into something you don't understand just because a KOL you like recommended it. In the end, you will be the biggest loser.

Hackathon Results and Next Steps

Many respected figures in the industry have contacted me, requesting the token list or preferred projects. They ask for the hackathon results announcement date and even the hackathon results. We have received at least 50+ direct messages, and some have even offered bribes or token allocations.

We have decided to cancel the demo day and have solana or sendaifun announce the results directly. Developers, do not worry, we will roll out an even more exciting event than demo day in the future!

As for the token issuance issue, there is currently no best solution, but I will continue to explore during my spare time.

Overall, I am very optimistic about the Crypto x AI agency field, which is a nascent billion-dollar industry. We have been fully self-funded in the past month, launching SendAI, Solana AI Hackathon, and Solana Agent Kit.

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