Original | Odaily Planet Daily ( @OdailyChina )
Author | Wenser ( @wenser2010 )
On July 24th, the Solana ecosystem meme coin issuance platform pump.fun accumulated revenue exceeding 70 million US dollars, becoming a phenomenon in this round of the cycle. Subsequently, discussions arose about whether pump.fun's impact on the Solana ecosystem is good or bad. Supporters believe that pump.fun has brought a meme coin craze to the Solana ecosystem, attracting funds, traffic, and developers. Opponents, on the other hand, believe that pump.fun has brought more rug scams, network congestion, and garbage meme coins to the Solana ecosystem. Odaily Planet Daily will provide a brief analysis in this article for readers to consider this matter from a more comprehensive perspective.
pump.fun: A Product of the Times
In early May, the Solana ecosystem's new SPL tokens reached a historic high of up to 14,648, with pump.fun being the main driving force behind this achievement, accounting for over 50% of the newly issued tokens. At that time, pump.fun was more commonly seen as a "one-click coin issuance platform," with relatively few "golden dog meme coins," but it had already attracted considerable market attention. Odaily Planet Daily's senior author Nan Zhi provided a comprehensive introduction to this, as detailed in the article "The driving force behind the historical high growth of Solana's token issuance, interpreting the growth engine Pump.fun".
Looking back at the development of pump.fun, important milestones include:
In mid-March, the meme coin craze in the Solana ecosystem led by BOME and SLERF truly injected new liquidity and market attention, laying the groundwork for the explosive growth of subsequent meme coin projects.
In May, pump.fun suffered a flash loan attack, with $1.2 million stolen, which was later traced back to a former employee (for details, refer to the article "How absurd is the theft of $1.2 million by a former employee with special privileges, and how did pump.fun handle the crisis?" by Odaily Planet Daily's senior author Fu Ruhe). Despite facing a crisis of trust at one point, the project managed to overcome this challenge through proper handling. Subsequently, it also launched live streaming functionality, ushering in a "new media era for meme coins." Recently, the "recommended for you" information flow feature has also been launched on the platform.
In early July, the number of tokens released on Pump.fun exceeded 1.17 million, with total revenue exceeding $50 million; and on July 1st, it achieved a new milestone of "revenue of $1.99 million in the past 24 hours," surpassing blockchain networks such as Ethereum, Tron, and Solana, ranking first in DefiLlama protocol revenue for a time.
Thanks to the meme coin projects that are active on the pump.fun platform at all times, the Solana ecosystem has become the "only light" in the volatile market in recent months—
On June 24th, according to SolanaFloor data, the total trading volume of Solana's on-chain DEX exceeded $400 billion, with over 20 million trading users and approximately 1.59 billion swap transactions.
On July 22nd, DeFiLlama data showed that the on-chain DEX trading volume on Solana for the past 7 days was $14.597 billion, ranking first for three consecutive weeks, with a 7-day increase of 9.73%.
On July 24th, according to Blockworks Research analyst Ryan Connor stated, Solana's decentralized exchange (DEX) trading volume has surpassed Ethereum's for the first time in the past 30 days. By this standard, Solana has become the most commonly used chain.
It can be said that the achievements at the data level cannot fully reflect the value of pump.fun in terms of liquidity, attention, and influence it brings to the Solana ecosystem. In a sense, pump.fun has become the engine driving the "ecological bull market" of Solana.
However, behind the prosperity and the raging fire, pump.fun has also permeated into various aspects of the Solana ecosystem like a "poison."
pump.fun: The Culprit of the Ecosystem's Rapid Decline
As the saying goes, "What makes you successful can also limit you." The promoting role of pump.fun in the Solana ecosystem is evident, but the negative impact is also not insignificant. Specifically, the main negative impacts include the following:
Rampant rug scams, countless frauds
According to Dune data statistics, the number of meme coin projects issued on the pump.fun platform has reached nearly 1.5 million, and among such a large number of projects, many obstacles need to be overcome:
For projects with a market value of $69,000, the platform will add $12,000 in liquidity to Raydium (Solana's leading DEX) and destroy LP. Subsequently, at market values of $100,000, $200,000, $500,000, $1 million, and even $10 million, for these meme coin projects, each threshold is a potential pitfall, with the risk of being reduced to zero with a slight misstep. Only a few projects, such as BILLY (a meme of a little dog), have achieved the milestone of breaking through a market value of $100 million. Naturally, the extremely low threshold for coin issuance has also led to countless rug scams.
pump.fun related data
Celebrity coin arena, pump.fun becomes a new platform for harvesting
According to crypto KOL Slorg statistics, the market value of more than 30 celebrity concept meme coins on the market has dropped by at least 80% in just a few days to a few tens of days. Pump.fun has provided the most convenient tool for these celebrity coins, to some extent becoming an "accomplice" in the "harvesting" of celebrity coins.
Statistics on the market value performance of celebrity coins by Slorg
Seeking attention, pushing limits, or triggering extreme negative events
Previously, after the launch of the live streaming feature by pump.fun, it attracted high market attention. Earlier, a developer named Mikol launched a meme coin called TruthOrDare (DARE) on Pump.fun in May and accidentally caught fire due to alcohol ignition during a Twitch live stream, resulting in third-degree burns all over the body and hospitalization. Additionally, a meme coin project called "LIVEWITHMOM" once conducted a live stream involving a minor and their "mother" based on the price fluctuations and barrage requests, including some scenes of partial nudity, it must be said that once meme coin projects go crazy, they can easily lead to a series of uncontrollable events.
LIVEMOM project live stream
In addition, pump.fun has led to the Solana ecosystem's meme coin projects becoming more and more "PVP," with a project being able to plummet to zero in just a few minutes. The existence of MEV extractors and various sniper bots has also plunged the Solana ecosystem into a "drastic" frenzy, making it unable to extricate itself. In the long run, the attention and liquidity of legitimate projects will continue to decline.
In summary, pump.fun's presence as a "casino" will continue, but the platform will ultimately determine its own lifecycle.
Overall, pump.fun's impact on the Solana ecosystem is more beneficial than detrimental. As mentioned in a previous article "One-click coin issuance becomes a 'new password' for crypto, which platform can compete with pump.fun?", the one-click coin issuance platform has become an important tool for supporting the development of the ecosystem, and many similar projects are also vying for their own ecological position on different blockchain networks.
Therefore, in the current environment where VC coins are cooling down and BTC spot ETFs and ETH spot ETFs are being listed one after another, pump.fun will continue to exist in the form of an "on-chain casino," attracting more and more people to enter due to its significant liquidity and high attention.
However, if the platform fails to respond to the need for reasonable methods to limit rug scams, fraud, and prevent extreme events, it may eventually face a "backlash of traffic" and be ruthlessly abandoned by the ecosystem and the market. This may also be one of the reasons why the Solana official has recently been promoting features such as Blinks.
For now, we can only say that "liquidity is the most honest representation."
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
