Pump.fun burns $370 million in PUMP token, commits 50% of future revenue for buyback-burn program
The remaining 50% will be used to make 'big bets' to grow the platform in the coming five to 10 years, co-founder Alon Cohen said.
Pump.fun has executed a massive token burn, destroying $370 million worth of PUMP tokens while simultaneously launching an ambitious buyback-and-burn program. The popular meme coin platform announced it will dedicate 50% of all future revenue to continuously purchasing and burning PUMP tokens. Co-founder Alon Cohen revealed the remaining 50% of revenue will fund "big bets" designed to expand the platform over the next five to ten years.
The token burn represents one of the largest single destruction events in the meme coin sector this year. Pump.fun has emerged as a leading platform for launching meme coins, capitalizing on the explosive growth in retail interest around these speculative digital assets. The platform's revenue model centers on transaction fees and trading activity from users creating and trading newly launched tokens.
This aggressive tokenomics shift signals growing maturation within the meme coin infrastructure space, as platforms move beyond simple fee collection toward more sophisticated value accrual mechanisms. The commitment to ongoing burns could establish a precedent for other platforms seeking to create deflationary pressure on their native tokens while balancing growth investments.
The success of this strategy will likely depend on Pump.fun's ability to maintain user engagement and trading volumes while executing their planned platform expansions. Market participants will be watching whether the burn program can sustain upward pressure on PUMP token prices amid broader market volatility.
Source: The Block
