The house always wins: Pump.fun’s revenue is jaw-dropping

PumpFun, an exchange platform that provides users with a memecoin creation service, has generated nearly $100 million in revenue in eight months.

Pump.fun, a memecoin generator on the Solana blockchain, is expected to raise its cumulative revenue over $100 million in the next few days. The platform has generated $94.5 million in revenue to date.

According to DeFiLlama data, the platform’s cumulative revenue since launch was $50 million at the end of June. The crypto platform has earned another $50 million in a month and a half.

Pump.fun, which allows users to create memecoins and connect them with buyers, has made its mark on the Solana blockchain. More than 1.8 million memecoins have been mined since its launch on the globally renowned memecoin platform.

Launched at the beginning of the year, Pump.fun uses a binding curve model, so the price increases as more people buy coins. User-created memecoins start with a base price and move to the next step with demand. Memecoins that are in high demand and create liquidity are transferred from Pump.fun to the Raydium exchange.

Pump.fun takes a 1 percent commission on every transaction users make on the platform. The platform also charges $2 to users who issue coins.

The popular Solana blockchain platform recently eliminated token distribution costs and began rewarding token creators with 0.5 SOL if they are successful.

The number of memecoins produced on the platform has exploded thanks to the reward mechanism.

Although the platform has generated close to $100 million in revenue, it is still the target of criticism. Many investors claim that Pump.fun facilitates fraud.