Pump.fun, Solana’s meme coin launchpad, has seen a sharp decline in both revenue and user engagement, with July 2025 revenue dropping to just $24.96 million. This marks an 80-82% fall from its January peak of $130 million.
The platform is now grappling with a fading meme coin hype, rising competition from rivals, and growing legal pressure. With PUMP, its native token, also facing a severe price drop, Pump.fun is at a crossroads in its attempt to maintain relevance in the crypto market.
The PUMP Token Struggles: 50% Drop Post-ICO
Pump.fun, launched in January 2024, enjoyed early success but has steadily faced a decline in revenue throughout 2025. February’s revenue of $90 million dropped to just $25 million by July.
The platform, once a powerhouse with peak daily revenue of over $7 million, saw its daily revenue fall to a mere $293,000 by the end of July. As a result, the platform’s user engagement, which once reached $700 million in volume, has plummeted to $150 million.
Meanwhile, the PUMP token, Pump.fun’s native cryptocurrency, has mirrored this decline. Launched at $0.006, the token is now trading at around $0.003, marking a 50% drop within a month.
This post-ICO bleed is a classic trend for tokens following their initial offering, signaling a broader concern for the platform’s sustainability.
Cooling Meme Coin Market Contributes to Pump.fun’s Decline
Pump.fun’s sharp revenue and volume decline can be attributed to the cooling of the meme coin market, as well as increasing competition. The total market cap of the meme coin sector has fallen from $85 billion to $65 billion, with 24-hour trading volume dropping from $17.2 billion to $5.5 billion.
In addition, Pump.fun is losing market share to its rival LetsBonk, which has grown its dominance in Solana token launches from 12% to 80%. As Pump.fun’s share shrinks to just 15%, it’s evident that the flow of users and capital is shifting toward LetsBonk.
PUMP Token’s Price Struggles and Pump.fun’s Buyback Initiative
The PUMP token, which had a successful ICO, is now facing a steep 52% decline from its all-time high. Launched in a highly anticipated offering that raised $600 million in just 12 minutes, the token initially gained significant traction.
However, the post-ICO downturn has been severe, with PUMP now showing signs of recovery, climbing 33% in the past week to trade at $0.0034. Pump.fun has responded to the price drop by initiating a multimillion-dollar buyback program, which is helping to stabilize the token’s price and increasing trading volume to $515 million.
Competitive Rivalry with LetsBonk
LetsBonk has taken full advantage of Pump.fun’s declining market share. By increasing its dominance in Solana token launches to 80%, it has surpassed Pump.fun in several key metrics.
| Month | Min. Price | Avg. Price | Max. Price | Potential ROI |
|---|---|---|---|---|
| Aug 2025 | $ 0.00241 | $ 0.002743 | $ 0.003465 |
0.48%
|
| Sep 2025 | $ 0.00262 | $ 0.002713 | $ 0.002805 |
18.65%
|
| Oct 2025 | $ 0.002579 | $ 0.002667 | $ 0.002784 |
19.28%
|
| Nov 2025 | $ 0.00237 | $ 0.002515 | $ 0.002631 |
23.69%
|
| Dec 2025 | $ 0.002508 | $ 0.002565 | $ 0.002627 |
23.83%
|
LetsBonk recorded a daily trading volume of $87.7 million, compared to Pump.fun’s $82.4 million. Despite having fewer overall token launches, LetsBonk has shown strong user engagement, suggesting a robust following and capital flow.
Pump.fun, in contrast, is struggling to maintain its dominance despite hosting more tokens with market caps over $1 million. Pump.fun with a total revenue of $1.37 million, far behind LetsBonk’s $8.4 million..
Legal Issues and Regulatory Pressure
Adding to the pressure on Pump.fun is a class-action lawsuit filed in January 2025, which accuses the platform of facilitating “pump-and-dump” schemes through token launches and unregistered tokens. These legal challenges come at a time when the platform’s user base is already shrinking, intensifying its struggles to maintain credibility and attract new users.
Financial Metrics and Market Performance
Despite the setbacks, Pump.fun remains a significant player in Solana’s meme coin launchpad space, holding 45.9% of the market share, closely followed by LetsBonk at 42.3%. However, the platform is facing increasing competition as other platforms like BAGS, JUP Studio, and Believe occupy a growing share of the market.
While Pump.fun has maintained its position in launch activity, with 13,690 new token launches in the last 24 hours, it is still behind LetsBonk in total trading throughput and user engagement.
Conclusion
Pump.fun’s steep decline in revenue and user engagement, combined with rising competition from LetsBonk and legal pressures, paints a challenging picture for the platform. The PUMP token’s post-ICO struggles further exacerbate the platform’s difficulties.
With meme coin interest cooling, Pump.fun must find ways to adapt, recover market share, and resolve its legal challenges if it hopes to remain relevant in the rapidly changing crypto landscape.
Also read PUMP Token Takes Off with $5.6B Valuation
Summary
Pump.fun, a Solana-based meme coin launchpad, has seen its revenue drop dramatically to $24.96 million in July 2025, an 80% decline from January. This fall reflects a broader meme coin market contraction and increased competition from rivals like LetsBonk, which now dominates the Solana token launch market.
The PUMP token, launched amid high expectations, is down 52% from its peak, though recent recovery signs have appeared. Pump.fun has initiated a buyback program to stabilize the token’s price, but its future remains uncertain.
Frequently Asked Questions (FAQ)
1- What factors contributed to the decline in Pump.fun’s revenue?
The revenue drop is primarily due to a combination of cooling memecoin hype, increasing competition from LetsBonk, and waning user engagement.
2- Why is the PUMP token struggling?
After a successful ICO, the PUMP token faced a typical post-ICO decline, dropping 50% within a month. It has since shown signs of recovery due to a buyback program initiated by Pump.fun.
3- How is Pump.fun dealing with its legal challenges?
Pump.fun is facing a class-action lawsuit accusing it of facilitating “pump-and-dump” schemes, adding pressure to its already strained position in the market.
4- Can Pump.fun recover from its downturn?
While Pump.fun remains a major player, the increasing competition and legal troubles make its recovery uncertain.
Appendix: Glossary of Key Terms
PUMP Token: The native cryptocurrency of Pump.fun, used within the platform’s ecosystem.
ICO (Initial Coin Offering): A fundraising mechanism where new tokens are sold to investors to raise capital.
Meme coin: A cryptocurrency inspired by internet memes, often driven by social media and community hype.
Market Cap: The total value of a cryptocurrency, calculated by multiplying its price by the circulating supply.
Buyback Program: A strategy where a company or platform buys back its tokens to reduce supply and stabilize prices.
Market Share: The percentage of total market volume held by a specific platform or token in a given sector.
Bonding Curve: A pricing mechanism used in decentralized finance where token price increases as more tokens are purchased.
References
AMB Crypto – ambcrypto.com
CoinEdition – coinedition.com
