Pump.fun acquires Padre Trading Terminal, causing its Token to drop 80%

Pump.fun has acquired Padre, an advanced multi- chain trading platform, in hopes of building a professional user base of retail investors. This will help the company capture and Tokenize more opportunities.

However, PADRE had a pre-existing Token that appeared to be shutting down, causing its value to almost disappear. This sudden change led to backlash from the community and accusations of fraud.

Pump.fun buys Padre

Pump.fun made its first acquisition in July, buying a Solana wallet tracker/analytics tool, but is already planning a second. The meme coin launch platform has expanded with the PUMP Token , and now Pump.fun is acquiring Padre:

Padre is a multi- chain exchange, and Pump.fun hopes to use its infrastructure to expand its business. The platform attempted to create its own advanced exchange nearly a year ago, but today's plans go even further.

Specifically, Pump.fun wants to “Tokenize the world’s highest potential opportunities,” and says that platforms like Padre attract high levels of activity in the ecosystem.

Therefore, the company believes that expanding its presence in professional retail investor trading is a top priority for these long-term goals.

Token in the line of fire

However, there is a group of users who are not happy. Although Pump.fun claims that Padre's trading functions will continue as normal, the company has its own Token .

In the future, PADRE “will no longer have any use on the platform and there are no plans for the future,” making its value virtually disappear.

Many Pump.fun fans were unhappy with the decision, accusing the platform of running a scam on PADRE holders. Although the asset is still quite small, the unexpected incident could still negatively affect its investors.

Going forward, it will be interesting to XEM whether this controversy outweighs the potential benefits.

Of course, Pump.fun has had its fair share of controversies, and PADRE’s collapse may not change that. The company has been accused of everything from market manipulation to supporting racist and obscene Token , but it hasn’t lost its prominence.

We can see that any downside from the Padre acquisition could be just a minor hurdle on Pump.fun's way of moving forward.