#Creator Campaign Phase 1# Pump.fun (often stylized as PUMP) burst onto the Solana scene in January 2024, founded by Noah Tweedale, Alon Cohen, and Dylan Kerler as a radically transparent, “no-code” memecoin launchpad . By removing barriers—any user can spin up a token for just 0.02 SOL—Pump.fun has democratized token creation, boasting over 11 million launches and raking in more than $700 million in protocol fees through trading, creation, and graduation fees by mid-2025 .

At its core lies a bonding-curve automated market maker (AMM): 80% of a new token’s fixed 1 billion-unit supply locks into the curve for instant buy/sell depth, while 20% goes to the creator’s wallet. Early adopters enjoy the lowest entry price, and every trade nudges the price along a predictable path—creating an engaging “King of the Hill” race to a modest market-cap milestone (around 45 SOL) that features tokens prominently on the homepage . Once a token’s bonding-curve market cap hits roughly $69,000, it “graduates” into PumpSwap—Pump.fun’s native DEX launched in March 2025—seamlessly migrating and locking liquidity in perpetuity while charging a 0.25% trading fee (0.05% of which feeds back to token creators) .

This gamified ecosystem has driven explosive growth. Daily volumes frequently exceed $100 million, and Pump.fun accounts for over 70% of Solana’s memecoin launches, solidifying its status as the top revenue-generating launchpad in DeFi by late 2024 . Its social features—live token-creation streams, leaderboards, and integrated chat—foster a vibrant community that thrives on rapid launches and the thrill of chasing potential “100x” gains.

Yet, caution is warranted. Approximately 98.6% of launched tokens never achieve sustainable traction, with scammers and pump-and-dumpers exploiting the platform’s openness . Regulators and legal advocates have taken notice: in early 2025, a class-action lawsuit alleged that Pump.fun functioned as an unregistered securities issuer, misleading inexperienced investors into high-risk memecoin gambles .

Compounding concerns, insiders control more than 40% of the upcoming $PUMP token’s 1 trillion supply, raising exit-liquidity flags for latecomers . Despite promises of governance voting, staking APYs of 10–15%, and fee discounts, the token’s success hinges on sustained community engagement and regulatory clarity .

In sum, Pump.fun exemplifies both the exhilarating potential—and perilous volatility—of Web3’s memecoin mania. It offers an unparalleled playground for creativity and quick-win speculation, but with inherent risks that demand rigorous due diligence and risk management.

#pumpfun#