Pump.fun Overhauls Fee Model – PUMP Token Gains Ground

Pump.fun Overhauls Fee Model – PUMP Token Gains Ground

The Solana-based token launch platform Pump.fun has fundamentally reformed its fee structure, leading to an 88 percent increase in trading volume.

The Solana-based token launch platform Pump.fun announced a comprehensive overhaul of its fee structure on January 9. Co-founder Alon Cohen justified the move by stating that the previous "Dynamic Fees V1" system had led to distorted incentives.[1]

The old model favored low-risk token creation while penalizing risky trading – which is crucial for liquidity and volume. The new structure now allows fee shares to be distributed to up to ten wallets after token launch. Additionally, creators can transfer control over tokens and revoke editing rights.[1]

The market's reaction was immediately positive: the platform's trading volume increased by approximately 88 percent in the short term. The native PUMP token also recorded price gains, most recently trading at $0.002341 – roughly 5.17 percent above the previous day's close.[1]

Technically, the token is moving between a support level at $0.00217 and resistance at $0.00253. Market capitalization stands at approximately $1.38 billion. Analysts view the short-term development as neutral with slight upside potential.[1]

Sources

  1. [1]btc-echo.de

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