Pump.fun’s revenue hit a seven-month high, coinciding with the PUMP token printing the first golden cross pattern in its history. This bullish technical signal, where a short-term moving average (MA) crosses above a long-term MA, formed after Pump.fun executed a massive token burn.
Over the last seven days, Pump.fun bought back and burned $5.52 million worth of PUMP tokens. This latest action brings their total cumulative buyback and burn to $429.63 million. This process has effectively removed 28.58% of the total token supply circulating in the market.
Paying Users to Undercut Competitors
This supply-reducing maneuver goes hand-in-hand with Pump.fun’s aggressive tactics to compete for transaction volume. On August 13, the platform launched the Callout Rewards feature. This incentive system distributes daily payouts to users based on the trading volume generated from their token recommendations or callouts.
That move continued yesterday, August 17. In-app trading fees were slashed to 0% for all transactions on the Solana network, and lowered to 0.1% for cross-chain activities. This strategy is viewed as a direct tactic to undercut competing platforms like Axiom, GMGN, and Fomo. At the same time, they are willing to spend capital to pay users who can bring in new transaction flows.
The impact of these two policies was immediately reflected in participation data. The number of weekly traders in the app surged by 23%. The peak occurred last Thursday, when the app recorded a new all-time high for daily active traders.
Answering Doubts After a Ten-Month Bearish Phase
Pump.fun’s current condition stands in stark contrast to a year ago. The platform was once valued at $8 billion in September 2025, just before the crypto market got caught in a bearish phase that weighed down the memecoin sector for 10 consecutive months. This prolonged downtrend prompted analysts to question whether meme tokens would still be relevant in the next market cycle.
Trading activity over the past month, combined with sentiment surrounding the launch of Robinhood Chain, answered those doubts with a resounding “yes.” Volume flowing back into the app indicates that retail traders’ appetite for risk in speculative tokens remains intact.
For Pump.fun’s competitors who still charge standard fees, this shift in user data presents a real problem. They are now faced with two choices: follow suit by offering free services and burning operational capital, or sit back and watch the remainder of their users migrate to an app that is willing to pay them.
Reported by Decrypt.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
