Pump.fun Buys Back Nearly 3 Billion Tokens in Surprise Move
Less than a week after the explosive launch of its token, Pump.fun initiated a massive buyback operation. Nearly 3 billion PUMP tokens were bought back on the secondary market for around $20 million, according to on-chain data compiled by Lookonchain. The operation was funded by revenues generated by the platform itself.
According to Solscan, 187,770 SOL, equivalent to over $31 million, was transferred on Tuesday night to a wallet dedicated to the buyback. A first wave of 118,351 SOL has already been used to absorb a portion of the circulating supply at an average price of $0.0064 per token.
A Surprise 3 Billion Tokens Buyback in Just a Few Hours
Pump.fun didn’t stop at raising hundreds of millions: it’s already starting to give back. By using the fees generated by the launchpad and its built-in AMM, the project is initiating what appears to be a semi-automated buyback mechanism. A strategy that was previously just a hypothesis put forward by several analysts.
In a note published on July 10, Delphi Digital discussed the possibility that Pump.fun could allocate up to 25% of its revenues to daily PUMP buybacks. Their projection: around $370,000 of daily buy pressure, translating to nearly $135 million injected directly into the token annually. A scenario that seems to be materializing.
A Token Boosted by the Announcement
Following this operation, the price of PUMP soared by 17%, reaching $0.0067, up from an initial price of $0.004 during its public launch just a few days earlier. This surge reignites interest in a token that has already garnered significant media attention.
It’s worth noting that the public sale of PUMP, held last weekend, raised over $500 million in just 12 minutes, valuing the project at a $4 billion fully diluted valuation. Currently, PUMP has a market capitalization of $2.4 billion and an FDV of around $6.5 billion.
Pressure on Rivals
This move by Pump.fun comes at a time when competition in the ecosystem of meme coin launchpads on Solana is heating up. In addition to the announcement of the titan Binance entering the fray, the competing platform LetsBonk recently outperformed Pump.fun on several key metrics: generated fees, number of tokens launched, active community, and more.
The message is clear: Pump.fun is not willing to fall behind. By reinvesting its own revenues into the token, the project sends a strong signal to its users, competitors, and speculators who watch the meme coin market as an explosive playground.
