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Pump.fun, a Solana-based meme coin launchpad, has repurchased $62.6 million worth of its PUMP token, absorbing 16.5 billion tokens at $0.003785 each, per Dune Analytics, to curb sell pressure after a 46% price drop from its July 2025 peak of $0.0068. The buyback, funded by $775 million in platform fees, has driven a 12% monthly price rise to $0.003522, up 54% from an August low of $0.002282, per CoinMarketCap.
The strategy, allocating 30% of revenue to buybacks with 60% token burns and 40% staking rewards, aims to boost scarcity and investor confidence, per Ainvest. With 70,800 unique holders and 46% small wallets, retail engagement is growing. However, a $5.5 billion class-action lawsuit filed January 30, 2025, amended July 23, accuses Pump.fun of “rigged slot machine” tactics, alleging $5.5 billion in investor losses. Additionally, 98.6% of its tokens show pump-and-dump patterns, per Solidus Labs, raising regulatory risks.
Despite reclaiming 84.1% of Solana’s meme coin launchpad market, outpacing LetsBonk, revenue dipped to $1.72 million weekly in early August, per DefiLlama. Investors are advised to monitor on-chain metrics and legal developments, as price gains may be volatile amid ongoing litigation and competition.
