Solana News Today: Former Pump.fun Developer Admits Guilt in $2 Million Solana Theft Case

Jarett Dunn, a former senior developer at Pump.fun, has officially affirmed his guilt in a high-profile case involving the theft of approximately $2 million worth of Solana (SOL) from the popular token launchpad. The admission was made from behind bars in London, where Dunn is currently incarcerated after breaching bail conditions earlier this year by relocating to Liverpool [1].

The incident dates back almost a year, when Dunn initially pleaded guilty to fraud by abuse of position, as well as transfer of criminal property. However, during a scheduled sentencing hearing in October, he unexpectedly attempted to withdraw his guilty plea, a move that led to the resignation of his legal team, who deemed the strategy impractical. For nearly eight months, Dunn awaited a court decision on whether his original plea would be vacated, a process repeatedly delayed due to court capacity issues [1].

In early June, Dunn broke his bail terms by moving to Liverpool, which led to his arrest and subsequent imprisonment at HMP Liverpool, followed by a transfer to HMP Pentonville in London. During his time in custody, he reaffirmed his guilty plea, as confirmed by his new legal team. Sentencing is expected within the next two weeks, though no official date has been set [1].

If the court classifies the offense as a category 1A crime—based on the severity and the impact on Pump.fun—the minimum sentence could be seven years. The estimated consequential losses to Pump.fun were cited as high as £10 million ($12.8 million), encompassing expenses to preserve its reputation, lost revenue from a nine-hour trading halt, and reduced fees offered as a goodwill gesture to affected users [1].

Dunn’s defense may argue mitigating circumstances, including his diagnosed schizoaffective bipolar disorder, panic disorder, and ADHD, which were not managed with medication at the time of the offense. He was unfit for police interviews upon arrest and was hospitalized for two weeks under Section 136 of the Mental Health Act. His history of substance abuse is also a potential factor in sentencing considerations [1].

The stolen funds were distributed to multiple random wallet addresses, preventing immediate repayment and giving Dunn an unintended cult following, with some crypto enthusiasts portraying him as a modern-day Robin Hood. UK solicitor Neil Williams explained that Pump.fun could pursue Dunn through a Proceeds of Crime Act (POCA) application to recover losses [1].

Meanwhile, Pump.fun has continued to thrive in the crypto space, reasserting its dominance in the token launchpad sector. According to Dune data, it now accounts for 77% of Solana tokens created via launchpads and has generated over $2.28 million in revenue—a five-month high. Since the breach in May 2024, the platform has seen its lifetime revenue grow from $43.9 million to $791 million. It has also launched its own token, which has reached a market cap of $1.27 billion, placing it at number 99 on CoinGecko’s global cryptocurrency ranking [1].

Dunn’s legal fate remains pending, with his friend managing his social media account hinting that a potential sentence of three years would allow him to return to Canada immediately, while a longer term would extend his incarceration. As the case concludes, the broader crypto community continues to watch the unfolding drama, which has become emblematic of the risks and rewards of the rapidly evolving token launch ecosystem.

Sources:

[1] Former Pump.fun Employee Pleads Guilty, Awaits Sentencing for $2 Million Solana Theft (https://decrypt.co/335320/former-pump-fun-employee-pleads-guilty-awaits-sentencing-solana-theft)