What Is Pump.fun and How Does It Work? [2025 Guide for Memecoin Traders]

What is Pump.fun and why has it taken over the memecoin space in 2025? As the leading launchpad for Solana-based meme tokens, Pump.fun makes it possible for anyone to create, trade, and track their own memecoin in just a few clicks—no coding needed. Originally launched in early 2024, the platform has exploded in popularity, becoming a cultural and trading phenomenon across the Solana ecosystem.

This article will provide a detailed guide for beginners—from how Pump.fun works and how to create a token, to how to leverage Bitget Wallet—a multi-chain Web3 wallet—to optimize your memecoin trading experience on Pump.fun.

What Is Pump.fun and Why Is It So Popular in 2025?

How Did Pump.fun Become the Go-To Memecoin Launchpad?

Pump.fun launched in January 2024 with a bold mission: make token creation accessible to everyone. Within months, it became the default platform for memecoin creators on Solana, thanks to its one-click minting process and fair-launch model. With no presales or VC allocations, every token starts at the same point: $0.

By November 2024, the site was seeing daily trading volume in the billions. On January 24, 2025, it hit an all-time high of $15.8 million in daily revenue, fueled by viral tokens and Solana's market surge.

What made it go viral? Accessibility, simplicity, and the social dynamics of meme culture. It removed all gatekeeping from crypto creation and turned the bonding curve into a game of hype and timing.

What Features Make Pump.fun Different From Other Token Tools?

• One-Click Creation: No coding, no liquidity pool setups. Just name, ticker, image, and go.
• Bonding Curve Pricing: Each coin starts with 1 billion tokens—800 million tied to a curve that increases the price as demand rises.
• Fair Launch Philosophy: No dev tokens, no early allocations.
• Instant Market: Tokens are tradeable immediately, with real-time charts and liquidity.
• Graduation System: After hitting a ~$69K cap, tokens graduate to PumpSwap (or Raydium previously).
• Trending & Search Tools: Users can track viral coins, memes, and categories (e.g., AI, DOGE, TESLA).

Source: Bitget on X

How Does Pump.fun Work Behind the Scenes?

What Is the Bonding Curve Pricing Model on Pump.fun?

Pump.fun uses a bonding curve system—essentially a mathematical formula where the price of a token increases exponentially as more tokens are purchased. The bonding curve manages 800 million of the 1 billion total supply per token.

This model rewards early buyers and incentivizes hype-driven price movement. Once the 800M are sold, the token "graduates" to a DEX like PumpSwap, enabling open trading.

Since Pump.fun runs on the Solana blockchain, users need a secure wallet to interact with smart contracts and monitor price curves. Bitget Wallet supports Solana, making it an ideal option for bonding curve purchases, token approvals, and market cap tracking.

How Does Token Trading Function on Pump.fun?

Once a token is created on Pump.fun, anyone can buy and sell it via the bonding curve interface. The trading screen displays:

• Real-time candle chart (green/red)
• Market cap and curve progress (% filled)
• Buy/Sell pane with wallet input (in SOL)
• Trading fee: 1% platform fee + $0.01 network fee

Users can monitor token performance via their Watchlist and follow “Now Trending” tickers that indicate what memecoins are gaining traction based on trading volume and social buzz.

How Do You Create Your Own Memecoin on Pump.fun?

What Are the Steps to Launch a Memecoin on Pump.fun?

Creating a memecoin on Pump.fun is shockingly simple—it takes less than 5 minutes. The process requires no technical experience or coding knowledge. Here’s how it works:

1. Go to pump.fun using the Bitget Wallet app
   
   
2. Connect your Solana wallet: log in via your Bitget Wallet for seamless access.
   
   
   
3. Click “Create Coin” at the top of the homepage.
   
   
   
4. Fill in the token details:
   -Name (e.g., “Shiba Trump”)
   -Ticker (e.g., $SHIBT)
   -Description and image (JPEG/PNG)
   
   
   
5. (Optional) Add links to your project’s Telegram, X (Twitter), or website to boost credibility.
   
   
   
6. Click “Create Coin” — your token is now live on the bonding curve.
   
   

After creation, you can choose to purchase some of your own tokens to generate momentum or let organic traffic do the work.

What Are the Costs and Requirements for Token Creation?

Surprisingly, creating a token on Pump.fun is 100% free. There are no developer fees or liquidity requirements. The only costs involved come from trading:

• 1% Platform Fee for buying or selling
• Solana Network Fee, usually under $0.01 per transaction

When creating and launching a memecoin on Pump.fun, users must connect a compatible Solana wallet. Bitget Wallet, a multi-chain Web3 wallet, makes it easy to interact with dApps like Pump.fun. With real-time balance tracking, quick token approvals, and multi-network support, Bitget Wallet ensures a smooth memecoin launch experience.

What Happens After Your Token "Graduates" on Pump.fun?

How Does Migration to PumpSwap or Raydium Work?

Once a memecoin on Pump.fun reaches the end of its bonding curve (800 million tokens sold), it graduates to an external or internal decentralized exchange (DEX). Before March 2025, all graduated tokens were automatically routed to Raydium DEX. However, in a major update, Pump.fun introduced its own native DEX: PumpSwap.

The migration process is automatic:

• A liquidity pool is created on PumpSwap.
• The remaining 200 million tokens from the original supply are made tradable on open markets.
• Price is now determined by buyers and sellers on the AMM model, not the bonding curve.

Graduation gives memecoins a second life. If strong community support continues, some tokens even grow exponentially after hitting PumpSwap.

What Is the $69K Market Cap Milestone and Why Does It Matter?

Graduation on Pump.fun happens when a memecoin hits around $69,000 in market cap—a symbolic and mechanical threshold. Originally a meme reference (yes, the number 69), it also serves a technical purpose:

• Bonding curve completion: All 800 million tokens allocated to the bonding curve have been purchased.
• Liquidity transfer trigger: The token is now eligible to move from bonded pricing to open market liquidity on PumpSwap.

This milestone is both a marketing badge and a technical unlock, signaling to traders that a memecoin has traction and is ready for broader exposure. Hitting this mark often leads to a surge in interest as it appears in “Trending” or “Graduated” lists across the platform.

What Are the Pros and Cons of Using Pump.fun?

Advantages: Fair Launch, Low Fees, and Ease of Use

Pump.fun offers a remarkably beginner-friendly approach to launching tokens on Solana. Its fair launch mechanism ensures that every new memecoin starts with zero presale, no team allocation, and full transparency.

Key benefits include:

• No coding required – Just fill out a form, and your token is live.
• Fair launch – Everyone has the same starting line. No insider allocations.
• Low fees – 1% platform fee per trade, plus near-zero network gas (thanks to Solana).
• Fast onboarding – New users can mint and trade memecoins within minutes.
• Instant liquidity – Tokens are tradable immediately through the bonding curve.
• Built-in exposure – Trending tokens gain visibility through Pump.fun's interface.

These advantages explain why tens of thousands of memecoins are created on Pump.fun daily—making it a top destination for casual and speculative traders alike.

Disadvantages: Rug Pulls, High Volatility, and Low Liquidity

Despite its appeal, Pump.fun is not risk-free. In fact, it may be one of the riskiest corners of crypto.

Notable downsides:

• Rug Pulls are rampant – According to Solidus Labs, over 98% of Pump.fun tokens are scams, pump-and-dumps, or memes with zero long-term viability.
• No project due diligence – Anyone can launch a coin. Many use it for jokes or fraud.
• High volatility – Tokens often spike and crash within minutes or hours.
• Thin liquidity post-graduation – Even “graduated” tokens on PumpSwap may lack depth.
• No roadmap, no fundamentals – Most tokens don’t offer utility, making them purely speculative.

While the barrier to entry is low, so is the safety net. You need sharp reflexes and strong community instincts to avoid being the exit liquidity.

How Does Pump.fun Compare to Other Tools Like Token Tool or LetsBONK.fun?

What Are the Key Differences Between Pump.fun and Token Tool?

Token Tool is a versatile, smart-contract deployment tool used by professional DeFi and NFT projects. While Pump.fun and Token Tool both allow for token creation, their audiences and functions differ significantly.

Criteria	Pump.fun	Token Tool
Primary Use Case	Meme coin creation and simple fair-launch trading for communities	Professional token creation for DeFi, NFT projects, and ICO preparation
User Experience	Simple interface with meme-centric design, no technical knowledge required	Developer-focused, offering deep customization options
Token Launch Speed	One-click launch, completed in under 5 minutes	Slower but allows for advanced security and detailed configurations
Trading Model	Uses a bonding curve model and transitions to the native DEX, PumpSwap	Users must manually set up liquidity; no default trading mechanism

Is Pump.fun Better Than LetsBONK.fun for New Token Creators?

LetsBONK.fun, another Solana-based memecoin launchpad, shares many similarities with Pump.fun—but there are key differences that new users should note.

Aspect	Pump.fun	LetsBONK.fun
Community	Independent, pseudonymous team (Alon)	Community-governed by $BONK holders
Creation Process	Fast, free, meme-first	Slightly more steps, but includes governance aspects
Token Limit	1 billion per launch	1 billion per launch
Graduation Destination	PumpSwap (native AMM)	Raydium DEX
Launch Model	Fair launch via bonding curve	Fair launch via bonding curve
Meta Curation	Trend-based tag system (“AI,” “Dog,” etc.)	BONK community voting and meta badges
Popularity	Higher volume, broader recognition	Rising fast, especially among BONK loyalists

Is Pump.fun Safe and Legal to Use?

What Are the Biggest Controversies Around Pump.fun?

Pump.fun has achieved viral success in the memecoin world—but not without attracting controversy.

One of the most persistent criticisms is that Pump.fun resembles a “memecoin casino.” Because it allows anyone to mint and trade tokens instantly, the platform is often flooded with low-effort, scammy, or offensive projects.

A recent study by Solidus Labs indicated that over 98% of Pump.fun tokens show characteristics of rug pulls, wash trading, or other manipulative behavior. While the bonding curve model offers some transparency, it does not prevent malicious actors from tricking users.

Furthermore, there is no project vetting, auditing, or verification system—meaning Pump.fun users must rely entirely on community signals, social media buzz, and gut instinct.

Despite this, many traders embrace the platform as a high-risk, high-reward playground—a cultural phenomenon rather than a traditional investment vehicle.

What Are the Regulatory Risks and Content Moderation Issues?

Pump.fun is a decentralized platform running on the Solana blockchain, which offers both benefits and risks:

• Censorship resistance allows free creation without gatekeeping.
• But this also means that offensive or illegal content can proliferate.

Tokens referencing NSFW topics, political slurs, hate speech, or copyrighted IPs have all appeared on Pump.fun. While the platform includes an NSFW filter, it doesn’t prevent the initial creation of such tokens.

From a regulatory standpoint, Pump.fun currently operates in a legal gray area:

• It does not require KYC.
• It facilitates token sales, which in some jurisdictions may be interpreted as securities offerings.
• It has already been geo-blocked in the UK as of late 2024, due to local financial regulations.

As memecoin platforms continue to grow, it’s possible more regions will restrict or monitor access to services like Pump.fun.

What Are the Most Successful Tokens Launched on Pump.fun?

Despite a high failure rate, Pump.fun has also birthed some of the most viral memecoins in crypto history.

Which Tokens Like PNUT, GOAT, or FARTCOIN Hit High Market Caps?

Here are some standout examples:

• Fartcoin (FARTCOIN): Launched in October 2024, FARTCOIN blew past expectations and reached a peak market cap of $2.4 billion by January 2025. Its absurd branding and massive meme support sparked a wave of imitator tokens.
• Peanut the Squirrel (PNUT): A tribute to a viral Instagram squirrel, PNUT tugged at the internet’s heartstrings and rode a wave of sympathy memes to a market cap of $400 million.
• Goatseus Maximus (GOAT): GOAT turned an internet shock meme into a full-blown trading narrative, climbing to over $300 million market cap, despite its NSFW undertones.
• Unicorn Fart Dust (UFD): Created as satire by gold investor Ronald Branstetter, UFD ironically reached a $240 million cap in just days—proving the memecoin market’s irrational power.

These success stories, while rare, demonstrate that with timing, virality, and meme momentum, tokens can briefly reach astronomical valuations—even without fundamentals.

What Can We Learn from Viral Memecoin Case Studies?

The clearest lesson from viral memecoins on Pump.fun is this: community-driven emotion outweighs real-world utility. Tokens like FARTCOIN or UFD didn’t need a clear function—they captured attention with humor, shock value, or absurd storytelling that spread like wildfire. Most breakout success stories began in tight-knit Telegram or X groups, where early believers amplified hype and drove FOMO at lightning speed.

But just as quickly as they rise, they fall. Most viral tokens crash within days, serving as a reminder that memecoins aren’t long-term investments—they’re high-stakes cultural gambits fueled by internet momentum.

What Is the Future of Pump.fun in the Memecoin Ecosystem?

Will the PUMP Token Change How the Platform Operates?

As of mid-2025, speculation continues to grow around the launch of $PUMP, the rumored native token of Pump.fun.

Although there has been no official confirmation, several team members hinted during X Spaces and community chats that a Pump.fun airdrop might take place—likely rewarding early users who launched or traded tokens on the platform.

If launched, the $PUMP token could:

• Incentivize activity with reward mechanisms (similar to Blur or Friend.tech)
• Power ecosystem governance (DAO-style votes)
• Enable discounts on bonding curve fees
• Unlock exclusive features or token tiers

Such a shift would bring greater sustainability to Pump.fun, transforming it from a wild memecoin arena into a more structured ecosystem.

Can Pump.fun Maintain Dominance in a Crowded Launchpad Space?

Pump.fun may have pioneered the bonding curve model for memecoin creation, but the meme launchpad space is no longer a solo stage. Competitors like Token Tool offer advanced tokenomics and regulatory features, while LetsBONK.fun introduces curated meme filters and community-driven moderation. The race is heating up.

Yet Pump.fun continues to lead—thanks to its first-mover advantage, ultra-fast launch process, viral reach, and massive daily liquidity. But to stay on top, it must evolve: strengthen security filters, empower creators with better tools, and potentially activate decentralized governance through the $PUMP token.

▶Learn more about Pump.fun:

• Pump.fun (PUMP) Listing Guide: Solana’s Top Memecoin Generator Explained
• What is Pump.fun? How It Works & Top Solana Memecoins to Trade
• What Is LetsBonk Fun? Complete Guide to the Top Solana Meme Coin Launchpad
  
  

Conclusion

Pump.fun has revolutionized memecoin creation on Solana. From instant token generation to viral meme trading and a unique bonding curve pricing model, it offers one of the fastest and easiest ways to participate in the meme economy.

As we’ve explored in this guide, what is Pump.fun isn’t just a technical question—it’s a window into the internet’s culture of speculation, humor, and community hype. With the potential launch of $PUMP and integration with tools like Bitget Wallet, the platform is evolving fast.

If you’re diving into the world of memecoins, make sure to do it safely and smartly. To store and trade memecoins securely, try Bitget Wallet – a multi-chain Web3 wallet designed for DeFi users and meme traders.

 Download Bitget Wallet

FAQs

1. What is Pump.fun and how does it work?

Pump.fun is a Solana-based memecoin launchpad that lets anyone create, buy, and trade tokens using a bonding curve model. It’s simple, fast, and fully decentralized.

2. How much does it cost to create a token on Pump.fun?

Creating a token is free. You’ll only pay a 1% platform fee and a small Solana gas fee (~$0.01) when buying/selling tokens.

3. What are the risks of using Pump.fun?

The platform is high-risk due to the prevalence of rug pulls, price volatility, and low liquidity. Always do your own research before investing in any memecoin.

4. Is Pump.fun better than LetsBONK.fun?

Pump.fun is more established and offers higher liquidity, while LetsBONK.fun emphasizes community moderation and meme curation. New users may find Pump.fun easier to start with, but both have their strengths.

Risk Disclosure

Please be aware that cryptocurrency trading involves high market risk. Bitget Wallet is not responsible for any trading losses incurred. Always perform your own research and trade responsibly.