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Pump.fun Unveils Revenue-Sharing Model to Reward Coin Creators and Promote Long-Term Engagement

Solana-based token platform Pump.fun has introduced a new revenue-sharing feature that allows creators to earn a portion of trading volume from PumpSwap — a significant shift designed to move the memecoin space beyond pump-and-dump dynamics and toward more sustainable growth models.

Under the new system announced late Monday, 50% of PumpSwap trading revenue will be distributed directly to coin creators. That equates to 0.05% (5 basis points) of total trading volume, paid out in SOL, across eligible tokens — including new launches, tokens still on the bonding curve, and those that have transitioned to PumpSwap’s liquidity pool.

In practical terms, $10 million in trading volume would earn a creator $5,000 in SOL, paid instantly and accessible anytime through the Pump.fun creator dashboard.

“Our number one goal has always been to strengthen the trenches,” said founder Alon Cohen in a post on X. “When the ecosystem grows, more communities form, engagement rises, and everyone wins.”

Historically, most developers on Solana’s memecoin platforms relied on early accumulation and selling of their own tokens to profit — a strategy that encouraged short-term dumping, fueled community mistrust, and led to the creation of thousands of low-effort tokens. These practices have contributed to volatility and skepticism across retail participants.

Pump.fun’s new model seeks to realign incentives by offering creators a recurring income stream based on ongoing trading activity, which could support a broader range of projects — from meme tokens to utility-based coins and creative digital communities.

“Right now, devs can only benefit by buying low and selling into demand — it creates perverse incentives,” Cohen said. “It’s why even doxxed, legitimate developers are viewed with suspicion — people assume they’re just waiting to rug.”

“This dynamic is not healthy for anyone,” he added.

Since launching in late 2023, Pump.fun has become one of Solana’s most active platforms, with tens of thousands of tokens minted daily and breakout coins like dogwifhat (WIF) reaching multi-billion dollar market capitalizations.

With this new feature, Pump is aiming to nurture more meaningful and lasting projects, reducing reliance on speculation and creating opportunities for developers to stay engaged with their communities.