Two US law firms, Burwick Law and Wolf Popper LLP, have issued a cease-and-desist notice to Pump.Fun for intellectual property violations involving their names and logos.
Accusations of Ignoring Violations
In a statement released on the social networking platform X, Burwick Law asserts that Pump.Fun has the technical ability to remove these tokens but chooses not to act despite potential risks to users. The law firms argue that Pump.Fun allows third parties to create these tokens to intimidate their clients and undermine ongoing legal actions. As a result, hundreds of memecoins that mimic or mock Burwick and Wolf Popper remain active on the platform, raising questions about Pump.Fun’s commitment to addressing violations.
Legal Pressure on Pump.Fun
It's worth noting that this cease-and-desist notice follows a proposed class-action lawsuit filed by Burwick Law and Wolf Popper on January 30. The lawsuit, filed by memecoin investor Diego Aguilar in the Southern District of New York, alleges that Pump.Fun promotes tokens with Ponzi-like characteristics targeting younger, less affluent investors. The plaintiff claims he incurred significant losses after investing in three memecoins—FRED, FWOG, and GRIFFAIN—created via Pump.Fun, which were marketed as having potential for exponential returns.
Dogshit2 Token Surge Amidst Legal Battles
Meanwhile, Dogshit2, one of the memecoins linked to the lawsuit, reached a $23 million market cap on Monday. Recent CoinGecko data shows that Dogshit2 has seen a significant rise, with trading volume increasing over 1000% in the past 24 hours, pushing its market capitalization to $8.7 billion—a 242% increase. Despite its sudden popularity, Dogshit2 has not been absorbed in the linked lawsuit, though it continues to face accusations of being part of a "pump-and-dump" scheme. Burwick Law firmly denies any connection to the token to distance itself from further controversy, stating that neither it nor Wolf Popper has launched or endorsed any memecoins. The firm also dismissed claims that a blockchain address linked to Dogshit2 appears in their legal documents, calling such allegations "completely false."
These class actions come just days after Trump's memecoin experienced a sharp decline, losing 44% of its value since its peak in January. The situation around Pump.Fun highlights the need to address intellectual property issues on digital platforms.
