Solana's Pump.fun exceeded $100 million in revenue, reaching this milestone in 217 days since its January launch. However, not all users view this achievement as positive for the crypto industry and DeFi.
Pump.fun's Record Growth
The Solana memecoin launchpad Pump.fun hit a record revenue among crypto applications in 217 days, surpassing DeFi giants like Ethena, Pancakeswap, and Curve Finance. Experts believe this is the fastest revenue growth in the history of the crypto economy.
Protocol Functioning
The Pump.fun protocol allows anyone to create meme-inspired tokens on the Solana blockchain. After a coin is launched on the platform, it trades on an increasing curve until it reaches a market cap of $69,000. Since the service debuted in early 2024, Solana has become the preferred chain for memecoins in DeFi. However, research found that only less than 1% of Pump.fun wallets profited $1,000 or more.
Crypto Community Reaction
Despite the rapid revenue growth, many users raise questions about the benefit of Pump.fun for DeFi and the crypto industry as a whole. The main concern is related to the sustainability of the protocol and its promotion of a gambling approach to digital assets. Some critics claim the platform encourages celebrities to create quick earnings, contradicting the fundamental spirit of crypto. There are also questions regarding potential regulation of the platform's activities by agencies such as the SEC.
While Pump.fun achieved impressive financial results in a short time, its impact on the crypto industry is a topic of much debate. Time will tell how sustainable and beneficial this protocol will be for the future of DeFi.
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