“Shocking Revelation: 99.6% of Pump.fun Traders Miss Out on $10K Gains!”

A recent analysis from Dune Analytics indicates that nearly all participants on Pump.fun, a decentralized platform centered around Solana-based meme coins, have not secured over $10,000 in realized profits. Out of 13.55 million wallet addresses utilizing the platform, only 55,296 have realized gains exceeding $10,000. The statistics appear even more alarming with respect to larger profits. A mere 0.048% of users have recognized profits surpassing $100,000, and just 0.00217%—approximately 293 wallets—have achieved profits exceeding $1 million.

Nevertheless, some experts contend that the statistics do not entirely reflect the profitability of Pump.fun traders. On-chain analyst Adam Tehc highlighted that realized profits are calculated only after traders have sold their assets. This implies that unrealized profits—where traders hold tokens that have appreciated but remain unsold—are excluded from the data. Tehc pointed out that those who have achieved a profit of $10,000 are in the top 0.412% of wallets on the platform.

The platform’s anonymous co-founder, Alon, also provided input, criticizing the Dune findings for neglecting certain transaction types. He clarified that purchases made after tokens have already bonded on Raydium—the decentralized exchange where Pump.fun tokens are traded—are omitted from profit assessments. This exclusion, as per Alon, skews the figures, leading him to believe that the genuine number of profitable wallets could be significantly higher.

Alon elaborated that unrealized profits significantly contribute to the platform’s overall profitability. For example, some traders who invested early in tokens like PNUT may have observed considerable growth in their assets’ value; however, their profits will only be reflected in the data when they opt to sell. Additionally, he mentioned that about 30% of Pump.fun wallets have executed only a single transaction, typically a sale, and many of these may belong to bots or AI, distorting the data’s accuracy.

Despite the apprehensions regarding the data’s validity, Pump.fun’s financial performance remains robust. According to the blockchain analytics firm Lookonchain, the platform generated 2,016,391 SOL tokens, bringing its total revenue to nearly $398 million by January 2, 2025. This has occurred even as the overall memecoin market cap has declined. Pump.fun has transferred over $300 million in SOL tokens to Kraken and converted $41 million into USD Coin (USDC). The platform has also dominated the token creation scene on the Solana blockchain, accounting for over 70% of new tokens on specific days.

Although it has encountered criticism, including concerns regarding its livestream feature, Pump.fun continues to hold a significant place within the Solana ecosystem by facilitating easier token creation and trading. In spite of the challenges, the platform remains one of the most influential entities in the space.