Pump.fun – a meme coin creation platform developed on Solana – is reportedly preparing to raise up to $1 billion through its initial token offering (ICO). According to two sources close to the project, the founding team is considering sharing a portion of the protocol's revenue with token investors.
It is still unclear what percentage of revenue Pump.fun will allocate to the PUMP token in the so-called "buyback-powered utility structure". Additionally, it has not been confirmed whether revenue from the decentralized exchange PumpSwap (launched earlier this year) will be included in the revenue sharing. Despite receiving multiple requests for comment, Pump.fun has not yet responded.
According to data from The Block, Pump.fun's daily revenue peaked at over $7 million on January 23, 2025, before gradually decreasing to around $1 million per day. Since its launch in early 2024, the platform has generated total revenue of up to $677 million, becoming one of the most profitable startups in the crypto space today.
A person close to the founding team said: "Some details are still being adjusted, but the core idea is to have a token buyback mechanism linked to a portion of Pump's revenue." This person further revealed that tokens will be fully unlocked at the Token Generation Event (TGE) for all participants, including individual and institutional investors.
Pump.fun first hinted at its token issuance plan in October 2024, when an anonymous co-founder mentioned during an X Spaces session that they "plan to launch a token in the future" as a way to "honor the first users." Earlier this week, Blockworks reported that the startup is preparing for an ICO with a valuation of up to $4 billion. The company has neither confirmed nor denied this information, but it has quickly become a hot topic in the crypto world.
The PUMP Token is expected to be sold to both individual and institutional investors, with all tokens to be unlocked at the TGE. According to two close sources, the total token supply is expected to be limited to 1 trillion tokens, although the project may conduct additional issuances.
Currently, the Pump.fun team is raising capital from private investors at around $0.004 per token. A public sale is expected to take place within the next two weeks. Some tokens may be sold through major exchanges like Binance, and an airdrop program is also being planned. According to an estimated source, approximately 25% of the token supply will be allocated to the public sale, while another 10% will be dedicated to the airdrop.
