The developers of Pump.fun have now decided to make their first big move to boost their new PUMP token, a powerful developer incentive program on their platform.
Pump.fun, recognized for its pioneering role in the rapid launch of memecoins, is actively developing a strategy to revitalize its market share. The platform aims to boost the native PUMP token through an incentive program based on trading volume.
This move comes at a critical time, marked by recent updates to its Software Development Kit (SDK), the scope and effectiveness of which still raise questions in the community.
Furthermore, Pump.fun faces a substantial loss of market share to emerging rivals like LetsBONK, which is rapidly gaining ground. By integrating recent data and analysis, we examine how this initiative could shape the future of the ecosystem and its competitive position.
PUMP Incentive Program Details
Pump.fun has outlined an ambitious incentive program aimed at repurchasing and distributing PUMP tokens to its users, rewarding trading volume with its native token. According to the research group Dumpster DAOThe SDK update includes functionality to dynamically track each user's trading volume, allowing for rewards to be assigned that can be adjusted through administrative controls.
The volume calculation window is based on a 30-day period, noting that initial tests suggested a distribution of up to 3 billion PUMP tokens per day, which would be equivalent to approximately XNUMX% of the total monthly supply. This figure, while still subject to change, reflects the intention to reactivate trading activity and attract significant volume.
However, Dumpster DAO warns that maintaining such a level is potentially financially unviable, given the risk of inflation. The program also plans to integrate trading activity through bonding curves, which would add a sophisticated mechanism for weighting rewards, although this functionality is still in the experimental phase.
BUY PUMP ON BIT2MEFeatures and dynamic administration
The revamped SDK introduces an administrative layer that allows Pump.fun to adjust the daily token distribution amount, providing flexibility to respond to market conditions and competition.
This means that rewards could vary based on internal performance metrics and business objectives, seeking to optimize economic impact without compromising the long-term stability of the token.
Impact of recent SDK updates
Recent modifications to Pump.fun's SDK demonstrate an effort to adapt its technological tools to a more competitive and dynamic market reality.
In addition to volumetric tracking, the Interface Definition Language (IDL) has been updated, opening the door for the integration of curve linkage mechanisms.
This would allow rewards to be distributed more efficiently and fairly, based on models that prioritize adherence and ecosystem sustainability.
Although these technological improvements suggest a strategic advance, the lack of official confirmations and precise technical details creates uncertainty about the real impact and implementation schedule.
BUY BONK ON BIT2MEObjective: to regain market share
Since the beginning of 2025, Pump.fun has faced significant market share erosion in the Solana meme platform space.
From a 98% share, its dominance fell to 57.5%, while LetsBONK quickly gained ground, reaching between 37% and 55% share of daily active creators.
This loss represents a direct threat to Pump.fun's influence and volume, especially given the flight of relevant memecoins to emerging platforms.
Competitive pressure and the flight of memecoins
The rise in competition from new platforms, such as Believe and LaunchLab, along with LetsBONK, has fragmented the user base and volume. Migrations of popular tokens to these options reflect the search for better economic and technological conditions.
This dynamic has significantly impacted Pump.fun's revenue and ability to maintain successful launches, justifying the urgency of the incentive program to attract and retain active users.
Pump.fun's current position and competition
Pump.fun, known for its rapid creation of memecoins and its PumpSwap platform, which operates as its own AMM, is in direct competition with Raydium and other ecosystem players.
The emergence of LaunchLab, partnering with Raydium, and the expansion of LetsBONK have complicated its leadership. LaunchLab offers robust integrations and an attractive RAY token buyback mechanism with a 25% fee, which has increased competition for liquidity and users.
BUY PUMP ON BIT2METechnological advantages and challenges
Pump.fun maintains an active community and significant volume, offering up to 50% revenue sharing with creators to incentivize releases.
However, it faces pressure from lower competitive commissions from rivals and the need to innovate in its offering and incentive structure. This scenario requires not only technical improvements but also renewed positioning to regain market trust and preference.
