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Pump.fun has burned about $370 million worth of PUMP tokens, removing roughly 36% of the token’s circulating supply as the Solana memecoin launchpad changes its tokenomics after months of scrutiny.
The burn covered PUMP tokens the platform had already bought back from the market. Pump.fun said it has now permanently destroyed those tokens and introduced a new buyback-and-burn program that will use 50% of future net revenue.
Buybacks Move to a More Automatic Model
The new program will run for 12 months and use half of net revenue from Pump.fun’s core products to buy PUMP on the open market. The tokens bought through the program will then be burned immediately.
Reports said 50% of net revenue from Pump.fun’s bonding curve, PumpSwap and Terminal will be routed through a locked smart contract and intermediary wallets to buy and burn PUMP.
Pump.fun said steady buybacks and burns are the most effective way to reduce circulating PUMP supply over time. The move also removes uncertainty over what would happen to tokens the platform had already repurchased.
The Tokenomics Shift Follows Community Pressure
The burn comes after months of scrutiny over PUMP’s market performance and the way Pump.fun has used its revenue. The platform remains one of Solana’s most visible consumer crypto apps, but tokenholders have been pushing for a clearer link between platform activity and token value.
The new model gives investors a more predictable supply-reduction plan. Instead of relying on discretionary buybacks, 50% of net revenue will now go to market purchases and permanent burns over the next year.
The remaining 50% of revenue will be used for operations, hiring, marketing, acquisitions and new products. That marks a shift away from using all revenue for burns, giving the team more flexibility to support the platform while still keeping a large token-support program in place.
PUMP Price Reacts to the Burn
PUMP rose after the announcement as traders reacted to the supply cut and the new revenue commitment. Market reports said the burn removed about 36% of circulating supply, and PUMP rose after the program was announced.
For Pump.fun, the announcement ties tokenholder support more closely to the platform’s revenue engine. The next test is whether a one-year buyback-and-burn program can turn short-term market excitement into longer-term confidence in PUMP.
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Fhumulani Lukoto
Cryptocurrency Journalist
Fhumulani Lukoto holds a Bachelors Degree in Journalism enabling her to become the writer she is today. Her passion for cryptocurrency and bitcoin started in 2021 when she began producing content in the space. A naturally inquisitive person, she dove head first into all things crypto to gain the huge wealth of knowledge she has today. Based out of Gauteng, South Africa, Fhumulani is a core member of the content team at Coin Insider.