98.6% of Tokens on Pump.fun Likely Rug Pulls or Scams
According to a report from Solidus Labs, 98.6% of tokens launched on Pump.fun, a Solana-based meme coin platform, are likely scams such as rug pulls or pump-and-dump schemes. Key findings include:
- Over 7 million tokens issued between January 2024 and March 2025
- Only about 97,000 tokens maintained liquidity above $1,000
- Pump.fun regularly achieves $100 million in daily trading volume
- 93% of 388,000 liquidity pools on Raydium show signs of soft rug pulls
- One rug pull resulted in losses of $1.9 million
- Legal issues include two class-action lawsuits for securities violations
The platform's bonding curve model benefits early buyers but often results in losses for later participants. In late 2024, Pump.fun had to shut down its livestream feature due to misuse, resulting in a $22 million revenue drop.