Pump.fun, a meme coin creation and trading platform, has reported a staggering revenue of $5.2 million in just 38 days.
According to DefiLlama, the platform generated $528,000 in fees yesterday alone. Initially rolled out for Solana (SOL) tokens in January, the platform broadened its horizon by integrating support for the Ethereum Layer 2 network, Blast, the following month.
Pump.fun has quickly become a hot topic among the crypto meme coin community. The platform allows virtually anyone to create and launch a new token that is instantly tradable, without seed liquidity, and costs less than $2.
The platform also aims to prevent rugpulls, a common scam in the crypto world.
“Each coin on Pump is a fair-launch with no presale and no team allocation,” the platform asserts.
The process of creating a token on Pump.fun is straightforward. Deployers select a name, ticker, and image. Creators can immediately start trading on a bonding curve—a mathematical model that determines the price of a token based on its supply, usually increasing as more tokens are bought.
When a token’s market capitalization hits a predetermined threshold, liquidity is deposited to a decentralized exchange and burned, enhancing stability and trust in the newly launched tokens.
The unique approach offers a stark alternative to traditional token launches, often fraught with high costs, complexity, and risks, including susceptibility to scams during presales.
Bralon Hill
Source link
