Pump.fun Becomes #3 Protocol by Weekly Revenue
The Solana-based memecoin launchpad Pump.fun has flipped derivatives protocol Hyperliquid to become the third-largest protocol by weekly revenue. This rapid ascent highlights the current market dominance and profitability of memecoin creation platforms. The platform's high engagement and occasional mishaps continue to fuel a volatile trading environment.
- The platform's revenue is primarily generated from a 1% fee on all trades and a fee of a few SOL when a token's bonding curve is completed and it lists on Raydium. Since its launch in early 2024, Pump.fun has accumulated over $818 million in revenue. - On January 24, 2025, the platform achieved a single-day revenue record of $15.5 million, boosted by the launch of the viral Vine Coin. This event was part of a two-week period where the platform saw over $4 billion in trading volume. - Pump.fun's business model utilizes a bonding curve, where a token's price is determined by a mathematical formula based on its supply. This allows for immediate trading without the need for traditional liquidity providers. - The platform has introduced a "Cashback Coins" feature, allowing creators to redirect the 0.3% creator fee back to traders and holders. This initiative aims to address concerns about token deployers who may not deserve the fees. - In a move to expand its ecosystem, Pump.fun announced a $3 million "Build In Public" hackathon, where winning projects are determined by their token's market performance and public engagement rather than by judges. - Despite its rapid growth, the platform has faced challenges, including an exploit in May 2024 that resulted in a $2 million loss. There have also been significant token sales by wallets linked to the team and insiders, creating selling pressure. - Competition in the Solana memecoin launchpad space has increased, with platforms like LetsBonk.fun briefly surpassing Pump.fun in daily revenue in July 2025. - The broader Solana memecoin market has shown signs of recovery in early 2026, with the number of newly issued daily tokens returning to previous highs, driving activity on the network. However, overall Solana memecoin trading volume has declined from its peak in January 2025.
