How Pump.fun raised $500M in 12 minutes, and what it says about retail FOMO
Main Idea
Pump.fun raised $500 million in 12 minutes through its ICO, highlighting retail FOMO and the platform's role in Solana-based meme coin launches, despite significant risks and criticisms.
Key Points
1. Pump.fun's ICO sold 125 billion PUMP tokens (12.5% of total supply) in under 12 minutes, generating $500 million, with over 10,000 wallets participating.
2. The platform accounted for roughly 71% of all token launches on Solana by late 2024, emphasizing its dominance in meme coin distribution.
3. Pump.fun's rapid fundraising reflects memecoin dynamics: viral energy, low entry barriers, and speculative trading, but 98.6% of tokens launched on the platform have collapsed in pump-and-dump schemes.
4. Critics argue PUMP monetizes virality without investor safeguards, with a class-action lawsuit in the US and regulatory scrutiny in the UK.
5. Technical issues during the sale, such as API outages on exchanges like Bybit and Kraken, highlighted infrastructure challenges.
Description
A record-breaking public sale, strategic acquisitions and ecosystem expansion mark Pump.fun’s rise, highlighting user-driven token distribution.
Latest News
- Ether’s ‘extreme euphoria’ social chatter could be a red flag for price2025-07-26 06:21:15
- Ripple CTO regrets the time he censored Ozzy Osbourne2025-07-26 03:56:55
- El Salvador’s Bitcoin reserve fails to help the average citizen — NGO exec2025-07-25 22:26:36
- Satoshi-era Bitcoin investor cashes out 80,000 BTC for $9B via Galaxy Digital2025-07-25 21:59:50
- ETH bulls target $9K: Does the data support the lofty price target?2025-07-25 21:58:03