Pump.fun resumes SOL deposits to Kraken after boosting earnings with PumpSwap

Pump.fun is seeing a higher level of fee production and has once again resumed its Solana (SOL) deposits to Kraken. This time, the platform deposited $7.81M worth of SOL to the exchange.

Pump.fun deposited another 54,113 SOL to Kraken, with a value of $7.81M. Year to date, Pump.fun has deposited over 1.57M SOL, valued at over $293M.

Overall, Pump.fun has already produced 3,232,101 SOL in total fees, valued at close to $500M. Of those, the platform probably cashed out over $250M, with the bulk during the 2024 bull market.

Following the latest sale, SOL traded at $145.56. The asset got a boost from a series of ETF applications, pointing to future demand.

Pump.fun is back in the top 10 of apps, with $1.53M in fees for the last day. On more successful days, the platform reaches over $3M in fees, though still far from peak results of over $7M daily. Currently, Pump.fun once again produces more fees compared to Solana, and has far surpassed even the entire Ethereum chain.

Meanwhile, Pump.fun sees a lower number of new tokens, falling to around 20K to 25K daily. On weaker days, under 2,000 new tokens are minted.

Token shifts to Raydium go to zero

The effect of PumpSwap is already visible, as almost no tokens are moving to Raydium. The integrated DEX now lists all tokens that have finished the bonding curve. Graduated tokens were already rare, with around 200 new tickers daily moving to Raydium.

PumpSwap is just building up its list of tokens, initially starting with 26 coins. The DEX has added some of the more liquid Solana assets like Pudgy Penguins (PENGU) and Jupiter (JUP). Pump.fun itself is also showing slower graduations, as the community only trades new launches, but rarely raises enough liquidity for graduation to a DEX.

The DEX also added USDT and USDC liquidity, as well as older blue chip memes. However, PumpSwap achieved $1.23B in trading volumes for the first week, producing an estimated $1M in fees as part of the Pump.fun ecosystem.

PumpSwap is competing with other DEX, taking between 7% and 15% of Solana DEX activity. | Source: Dune Analytics

Pump.fun makes up around 7% of all Solana DEX volumes. March 24 was the first peak day, with over $890M in total daily activity.

Pump.fun has also surpassed Meteora in daily token trades, peaking at over 14% of all Solana DEX on Monday. The new exchange is yet to prove its ability to replace the ‘trenches’ with new token mints and unexpected success stories.

The growing DEX activity may add to more fee liquidation, as the Pump.fun ecosystem has not yet introduced its profit-sharing mechanism. Most of the SOL fees generated are either partially used for staking or sold on the open market. In the coming months, PumpSwap will start sharing its revenues with token creators.

In the very first days of its operation, the new DEX almost reached Pump.fun’s in terms of fees. If trading volumes keep their levels, PumpSwap may replace the lost revenues from the slower meme token casino.

The DEX has achieved up to $2.8M in daily revenues on the more successful days, both from trade fees of 0.25%, and from liquidity provider services. Most of the fees will flow back to the main token developer, once again with no plans for rewarding communities. The new model rebuilds the Moonshot launchpad and DEX combination, which, however, could not differentiate between legitimate projects and rug pulls.

Most Pump.fun wallets break even or lose $500

The highly competitive PvP trading of meme tokens means the majority of players end up with losses. Since traders only make small bets on new memes, the most common loss is up to $500. Around 1M wallets break even, and 1.3M wallets lose up to $500.

Only 33 whale wallets have achieved earnings of over $1M, and just four whales have lost over $1M on the platform. The Pump.fun trading format shows a shift of retail bets into whale wallets, where the top 500 traders make most of the earnings.

Only two tokens, FARTCOIN and WOULD, have broken above $500M valuations. Solana memes remain active, with a total valuation for top tokens at $8.4B. The meme space has recovered, though remaining far from its peak valuations.

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