Pump.fun has invested over $62.6 million in repurchasing its native token, PUMP, based on data from Dune Analytics. These buybacks have absorbed more than 16.5 billion tokens at an average price of $0.003785, as the platform aims to stabilize price movements and decrease selling pressure.
The buyback strategy relies on revenue generated by the platform, mainly from fees charged to users launching memecoins, to carry out daily token repurchases. Daily buybacks have consistently varied between $1.3 million and $2.3 million in the past week, according to Dune Analytics data shows.
Since its inception, Pump.fun has generated over $775 million in revenue, according to DefiLlama data. Notably, the platform experienced a significant drop in revenue from July 28 to Aug. 3, bringing in only $1.72 million in weekly revenue, the lowest since March 2024.
Meanwhile, the buyback initiative appears to be effective. PUMP has increased by over 12% in the last month and approximately 9% in the past week. The token is currently trading at $0.003522, a 54% rise from its August low of $0.002282.
Related: How Pump.fun raised $500M in 12 minutes, and what it says about retail FOMO
PUMP holder count exceeds 70,000
Onchain data also indicates a positive increase in user participation. The number of unique PUMP holders has steadily risen to over 70,800, with smaller wallets (<10K PUMP) now representing 46% of the distribution. The widening of ownership suggests increased retail engagement.
This growth occurs as Pump.fun has recently faced challenges in maintaining its leading position in the Solana memecoin launchpad rankings. A newly launched Solana platform named LetsBonk took the top spot for 24-hour revenue on July 7, surpassing Pump.fun.
According to the Solana decentralized exchange (DEX) aggregator Jupiter, LetsBonk’s dominance persisted throughout July, capturing more market share than Pump.fun on several occasions.
Nevertheless, Jupiter data suggests that Pump.fun has regained the No. 1 position. In the past week, the platform accounted for a 73% market share and recorded $4.5 billion in trading volume. In contrast, LetsBonk’s market share has decreased to under 9%, with $543 million in volume.
Related: Pump.fun private sale investors send over $160M to exchanges
Pump.fun faces $5.5 billion lawsuit
While Pump.fun continues to gain momentum, it is now confronting serious legal challenges. A class-action lawsuit filed on Jan. 30 accuses the platform of employing “guerrilla marketing” tactics to create artificial hype and urgency around highly volatile tokens.
The lawsuit was amended on July 23, with plaintiffs portraying Pump.fun as an “unlicensed casino.” The updated filing compares the platform’s structure to a “rigged slot machine,” claiming that early investors profit by selling tokens to later entrants. The lawsuit alleges total investor losses have reached $5.5 billion.
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