EddieJayonCrypto
11 Feb 25
Alon Cohen, co-founder of Pump.fun, has refuted rumors of an upcoming PUMP token launch, urging users to rely only on official updates. This comes amid a potential class-action lawsuit against the platform for alleged sale of unregistered securities. The platform is facing legal challenges and contr...
Alon Cohen, co-founder of Pump.fun, has refuted rumors of an upcoming PUMP token launch, urging users to rely only on official updates. This comes amid a potential class-action lawsuit against the platform for alleged sale of unregistered securities. The platform is facing legal challenges and controversy over a livestream feature. Despite this, activity on the Solana-based meme coin launchpad remains strong. Additionally, Solana leads the retail decentralized exchange (DEX) market, with nearly 60% of its activity driven by Pump.fun. Pump.fun’s co-founder Alon Cohen has dismissed speculation about an upcoming PUMP token launch. Cohen addressed the rumors on X, stating, “Seeing rumors about a potential pump fun token – these are wrong.” He also urged users to rely only on official updates from the team. The executive emphasized that the platform remains focused on improving its services and rewarding users, adding that “good things take time!” Pump.fun is currently facing a proposed class action lawsuit accusing the platform of securities violations. The suit claims that every token created through Pump.fun qualifies as an unregistered security and alleges that the company has generated nearly $500 million in fees from these transactions. A similar case was filed by a different plaintiff just two weeks earlier. Beyond its legal troubles, the platform has also dealt with controversy over a livestream feature introduced in November 2024. While intended to boost user engagement, the feature was quickly exploited to broadcast explicit and disturbing content. In response to public backlash, Pump.fun shut down the function, resulting in a decline in revenue. Despite these challenges, activity on the Solana-based meme coin launchpad remains strong. Additionally, Solana continues to lead the retail decentralized exchange (DEX) market, accounting for 48% of total DEX volume, with nearly 60% of this activity driven by Pump.fun.