According to the project’s own data, only 8.7 million tokens released on Pump.Fun since January 14, 2024 have been released on Pump.Fun, but still holds a market capitalization of over $100 million.
Although total revenues have drawn over $600 million, the majority of tokens created through Solana-based meme coin launchers have either fallen into value or are completely gone from the market.
With the Pump.Fun platform, anyone can ment meme coins without a code. It’s open to anyone with Solana’s wallet. Since its launch, millions of users have been flooded with random tokens. However, based on current numbers, only four of them remain strong enough to keep their ratings in nine figures. The rest faded.
PumpFun launches Pumpswap to keep token traffic in-house
On Thursday, Pump.Fun said it had begun its own distributed exchange called Pumpswap. It now handles Meme Coins and Solana-based token transactions created on the platform. This comes a few days after Raydium revealed that it will launch RaunchLab. LaunchLab is a token generator that Pump.Fun does accurately.
Pumpswap Dex runs on certain product-automated market makers, the same type of trading model used by UNISWAP V2 and Raydium V4. This allows users to provide liquidity and trade Crypto tokens directly in Solana. According to Pump.Fun, Pumpswap already supports assets such as USDE, Pengu, SEI, Jupiter (Jup), and Wormhole (W).
Each Pumpswap transaction costs 0.25%. In that time, 0.20% will go to the liquidity provider and 0.05% will go to the platform. But that setup doesn’t stay the same. The team said changes are coming that allow creators to get that fee cut.
“As soon as it comes, the protocol’s revenue percentage will be shared with Coin Creators,” the Pump.Fun team wrote in the update. “If that’s successful, millions of dollars will be directed towards working with the creator community to encourage higher quality launches.”
This exchange eliminates any issues that are important to the token creator. Before this, once the coin reached the edge of the binding curve, it had to manually migrate to another dex, such as Raydium. The process often slowed momentum and confused new users. However, with Pumpswap, migration is automatically free.
“Movement was a major point of friction. They slow the momentum of the coin and bring unnecessary complexity to new users,” Pump.fun wrote in the announcement.
Until now, most pump.fun tokens have moved to Radium once the binding stage has finished. But now that Pumpswap is live, much of its traffic can only be exchanged by Pump.fun itself. This is a direct attempt to prevent the volume from leaking into Radium, especially after LaunchLab revealed.
Scammers use Pumple.fun to cash out Ripple hype
Scammed coins began appearing in Pump.pum.fun as the SEC dropped its lawsuit against Ripple and XRP saw a surge in prices. The scammers quickly created tokens themed tokens to deceive users as they were chasing the news.
Tokens such as Rippledrop (rdrop), Rippleroar (RRRX), XRP Ripple (RLUSD), Ripple Victory (RVY) all went live shortly after the court news fell. Each of them used names clearly designed to mislead users, making them consider them to be legitimate Ripple-related projects.
None of them were real. Most had market caps of just $2,000 to $3,800 before fading out. They were low-effort cash grabs created to take advantage of the news cycle. There’s no team, no roadmap, no future. Just hype and exits.
This is nothing new to pump.fun. Whenever there is a big headline in a code, the con man jumps in quickly. The ease of use of the platform makes it a go-to for launching fake tokens. They pick a hot topic, name the token to what they clicked, launch it, pump it up, and disappear.
Also, this continues to happen as there are no filters on the platform. Anyone can deploy the token, but no questions asked. It is a wide open gate. Every time someone buys without checking the background of a token, they risk putting them at risk of holding unworthy coins.
Most of those who jumped on those ripple-themed coins didn’t even realize they weren’t legal. They looked at the names and organized them, assuming a connection to XRP. It’s how quickly fraud moves in this space.
