Meme Coin Traders Hate the Flood of Tokens on Pump.fun

The launch of the Pump.fun Olympics saw a surge in meme coin activity as Donald Trump and Elon Musk spoke on Twitter Spaces, marking the debut of what has been described as an unprecedented event in the meme coin world. Over a three-hour span, Pump.fun, a popular token launchpad, released 10,000 new tokens. However, this massive influx has not been met with enthusiasm from the meme coin community.

“Meme coin trading isn’t fun anymore,” lamented trader Tyler Stockfield (known as Anon) on Twitter. “The only ones benefiting are the Pump.fun team with their fees.”

Pump.fun gained traction for allowing users to create tokens quickly and cheaply. The platform recently eliminated fees for launching tokens and now pays deployers a small amount if their tokens are successful. This policy change led to a record 23,000 tokens launched in just 24 hours, generating an unprecedented $5 million in fees—more than double its previous high of $2.3 million. Despite this, only about 250 tokens made it to Raydium, a major Solana DEX, with a $69,000 market cap, reflecting a mere 1% success rate.

The high volume of new tokens has raised concerns among traders about market oversaturation, increased scams, and rug pulls. “The game has changed, but it’s made it easier for bad actors and incentivizes them too much,” said pseudonymous trader LitBro on Twitter.

Pump.fun creator Alon explained that the platform’s reduced token launch barriers—down to just one minute and $2—have made it easier to deploy coins but have also decreased the motivation for developers to sustain their projects. “My concern isn’t just with Pump.fun as a launchpad but with their lack of measures against scammers,” tweeted pseudonymous trader Bizzy. “Why isn’t there better verification or filters to prevent scams?”

In response to these issues, Pump.fun has introduced updates aimed at improving user security, including the integration of the on-chain visualizer Bubblemaps to track token holders and a reward of 0.5 SOL ($79) for successful token deployers, intended to mitigate rug pulls.

Pump.fun has not yet responded to Decrypt’s request for further comment.

source: https://decrypt.co/244445/meme-coin-traders-hate-the-flood-of-tokens-on-pump-fun