Pump.fun Burns $370M in PUMP Tokens, Launches Revenue-Funded Buyback Program

Pump.fun announced it has burned approximately $370 million worth of PUMP tokens, eliminating about 36% of the token’s circulating supply. The platform confirmed that all previously bought-back tokens were permanently removed from circulation, addressing concerns about transparency and long-term sustainability.

In a post on X, the team acknowledged earlier doubts about trust, longevity, and the certainty of buybacks. It stated that the burn was designed to remove uncertainty and reinforce a community-first approach.

New Buyback-and-Burn Program Introduced

Alongside the burn, Pump.fun unveiled a programmatic buyback-and-burn model funded by 50% of future net revenue for one year. Revenue generated from the platform’s bonding curve, PumpSwap, and Terminal products will be used to automatically buy PUMP tokens from the open market and burn them.

The buyback process will be executed through an irreversible locked smart contract, ensuring tokens removed from circulation cannot be reused or redirected.

Remaining Revenue Allocated for Growth

The remaining 50% of net revenue will be reinvested into expanding the ecosystem. According to co-founder Alon Cohen, maintaining a treasury allows the company to hire elite product teams, expand marketing efforts, and make major strategic investments over the next five to ten years.

Cohen emphasized that every dollar not burned would still support long-term growth, aiming to transform Pump.fun from a memecoin launchpad into a default platform for launching any tokenizable asset.

Revenue Milestones and Market Reaction

Last month, Pump.fun became the first platform on the Solana ecosystem to surpass $1 billion in cumulative revenue since launching in January 2024. According to data from DefiLlama, the platform has generated over $664 million in total revenue across its launchpad, PumpSwap, and Padre services, including nearly $150 million so far in 2026.

Following the announcement, the PUMP token price rose about 7.1%, reaching approximately $0.0019 within 24 hours, signaling a positive market response to the aggressive supply reduction strategy.