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"Solana Memecoin Launchpad Pump.fun Deposits $407M in SOL on Kraken"

Coin WorldThursday, Jan 30, 2025 5:58 pm ET

1min read

In a significant development, the Solana-based memecoin launchpad, Pump.fun, has deposited a substantial amount of $407 million worth of SOL into the crypto exchange Kraken over the past year, as per the digital asset tracker Lookonchain. This transaction highlights the growing influence and activity of memecoins in the cryptocurrency market.

Pump.fun, which launched in January 2024, has also sold 264,373 SOL for $41.64 million worth of the stablecoin USDC. The platform has reportedly earned a total of 2.57 million SOL, valued at $588.6 million. Pump.fun aims to simplify the process of launching coins without the need for seeding liquidity, making it an attractive option for memecoin creators.

The platform, however, has faced controversy. Earlier this month, the digital asset litigation firm Burwick Law announced its intention to pursue legal action against Pump.fun on behalf of investors who have lost money due to memecoins launched on the platform. The firm cited concerns about the platform's lack of transparency and accountability, as the creator of Pump.fun has chosen to remain anonymous despite acknowledging the importance of transparency in scaling and retail engagement.

Despite the controversy, Pump.fun continues to generate significant fees. According to the decentralized finance data aggregator DeFiLlama, the platform raked in a record-setting $15.38 million on January 25th. This demonstrates the platform's ability to attract users and generate revenue, despite the ongoing legal challenges and concerns about its practices.

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