From August 20 to 26, the Pump.fun platform undertook a significant buyback of PUMP tokens, resulting in price increases and trading volume growth.
Scale of the Buyback
Pump.fun allocated nearly all of its revenue to the buyback program, bringing the total to $58.7 million. This accounts for about 4.3% of PUMP’s total supply, significantly reducing its circulation. Just two weeks earlier, the platform spent $33 million on a similar buyback, highlighting its aggressive supply control strategy.
Market Reaction to the Announcement
Following the announcement, PUMP gained 4% to trade at $0.003019, marking a 20% rebound over the past two days. Trading volume also climbed 17% to $226.3 million. Despite the rally, the token remains 55.7% below its all-time high of $0.0068 reached on July 16. Analysts note that buybacks have helped stabilize the token after it bottomed near $0.00228 at the end of July.
Dominance in Solana's Memecoin Market
Pump.fun continues to dominate Solana’s memecoin scene with roughly 84% market share. Data from Jupiter shows the platform facilitated $781 million in trading volume from 413,000 users in the past 24 hours. In comparison, its closest rival, LetsBONK.fun—backed by the Bonk (BONK) token—saw $53.1 million in daily revenue and about 33,300 traders, giving it just 5.7% of the market.
With buybacks reducing supply and trading activity remaining high, Pump.fun appears to be solidifying its position in the Solana memecoin market while working to recover from its post-ATH correction.
