Pump.fun introduces a revenue-sharing model that allocates 0.05% of the trading volume to token creators, equating to $5,000 for every $10 million exchanged.
Pump.fun shares 50% of its revenue with its memecoin creators
The Wild West of memecoins on Solana is undergoing a transformation. Pump.fun, the platform responsible for the creation of viral tokens, is introducing an unprecedented revenue-sharing system: from now on, every creator will receive 0.05% of the trading volume of their coin, directly in SOL. A first that could help put an end to the era of wild pump & dumps.
Since its inception, Pump.fun has established itself as a cash-generating machine, yielding 3,286,000 SOL, nearly $600 million at the current price.
A reimagined incentive model
Essentially, 50% of the fees generated on PumpSwap, the platform’s native exchange, will be redistributed to creators, whether it’s freshly launched tokens or those already in the liquidity pool. This translates to $5,000 in SOL for every $10 million in trading volume, with immediate on-chain distribution accessible anytime through the creator dashboard.
A strategic shift embraced by founder Alon Cohen:
As the market grows, everyone benefits. Our goal has always been to strengthen the trenches, and this update is the logical next step.
End of the “create and dump” model?
Until now, the only way for a coin developer to make money was simple, yet toxic: buying their own token at a floor price and selling it as soon as demand rises. Result: deceived communities, abandoned projects, and billions of dollars captured by tokens with no ambition. The largest value extraction in crypto market history.
This new system reshuffles the deck. By offering recurring revenue on trading activity, Pump.fun hopes to encourage more robust formats: utility tokens, creative experiences, media projects, sustainable communities… and above all, less anonymous, more committed developers.
Pump.fun: from speculative madness to idea factory
Since its launch in late 2023, Pump.fun has become the favorite playground for on-chain memecoin traders. Every day, thousands of tokens are born, some reaching 9-figure market caps. But this explosive dynamic had its downside: few guardrails, little credibility.
With this update, Pump.fun could slightly distance itself from its image of a Solana casino. It also becomes a platform for creation, where the most serious ideas can survive beyond the initial frenzy, and most importantly, reward those who nurture them.
