Lookonchain data revealed that Solana’s memecoin factory Pump.fun‘s account sold 9,940 more tokens worth $1.33 million. The number brought total SOL token sales from the memecoin factory to approximately $42.93 million from 274,313 SOL tokens since the beginning of the month at an average price of $156.5.
Pump.fun began selling SOL tokens at the beginning of September, leading to a SOL price slump on September 3. Lookonchain data shows that the platform sold the first batch of SOL tokens on September 1 (254,074 tokens worth $40.26 million at $158). On September 3, the platform sold 10,300 tokens worth $1.38 million at $134.46.
The data also indicated that Pump.fun’s daily revenue on September 11 was 712,797 SOL, equivalent to $95.87 million. The revenue has increased from September 1, when Pump.fun’s daily revenue hit 680,000 SOL, equivalent to $91 million.
The Pump.fun account now has a balance of 319,304.52 SOL tokens worth over $42 million. There is no apparent reason why the account is making the sales, which is causing discourse among the Solana community. According to data from CoinMarketCap, SOL’s price is down over 8% over the past month, sitting at a little over $134 at the time of writing.
Solana community expresses concerns over the sales
With the fees that they collect instead of dumping everything they should level up the ui of the web and to build some tools in order to protect the people but of course for the business its not valuable if a token launch and reach multi millions !! For the website it’s valuable…
— Crypto Analytica (@crypto888inform) September 12, 2024
While some in the community do not mind the recent Pump.fun SOL sales, others have expressed their dissatisfaction. One X user mentioned that instead of the platform shedding its SOL weight, it would have used the revenue to improve Pump.fun’s user interface and build better tools to increase user security. However, the user speculated that the platform focuses more on quality than quantity.
Others in the Solana community thought Pump.fun’s hype was over, saying the platform was ‘junk making the chain more congested.’ Some still believe that the platform is good for Solana’s progress.
One trader also explained the possible correlation between the memecoin influx and SOL’s price. The trader and podcast host Luke Martin shared a chart, explaining that SOL’s price stopped accelerating around the same time Solana received a massive influx of memecoins. The trader insisted that the charts he shared were only an observation, not a claim.
TRON’s SunPump takes on Solana’s Pump.fun
TRON’s SunPump is currently challenging Pump.fun’s dominance in the memecoin industry. Recent on-chain from data analytics company, Dune Analytics, showed that SunPump reached 50% of total token mints and value locked in Pump.fun only a few days after the platform’s launch. TRON’s memecoin launcher also accounted for approximately 40% of the total memecoin volumes on its good days.
More data from Solana’s on-chain activity, such as sliding fees, indicate reduced trading activity and traffic on the blockchain. The on-chain data suggested that the traffic reductions coincided with TRON’s launch of SunPump.
TRON’s co-founder and CEO Justin Sun addressed the hate that surrounded SunPump after its launch. Justin tweeted about one hater’s comment that the memecoin platform wouldn’t last 2 weeks. TRON’s CEO also encouraged people to join the platform before it was too late.
