A legal firm in the United States has disclosed intentions to initiate legal proceedings against the Solana-based meme coin launchpad Pump.fun on behalf of investors, noting several months of dubious promotional activities by users of the platform.
Burwick Law, located in New York, which recently brought forward a federal lawsuit against the developers of the ill-fated Hawk Tuah meme currency, made its declaration on Wednesday via X.
“Over the last few months, pumpdotfun has amassed hundreds of millions of dollars in fees while displaying illicit drug use, self-harm, racism, antisemitism, lewd behavior, bestiality, violence, and other antisocial conduct on the platform,” the legal firm asserted.
The firm is urging individuals affected by Pump.fun’s actions to step forward and assist in constructing a potential legal case aimed at obtaining restitution.
This announcement follows months of engagement with individuals whom Burwick stated are in pursuit of remediation after experiencing “significant losses from meme coins, rug pulls, and unkept promises.”
Burwick argues that these matters highlight serious concerns regarding the absence of accountability from the platform’s “anonymous” creators.
It is important to mention that this announcement is regarded as “attorney advertising,” with indications that “no outcomes are assured,” along with a disclaimer stating that “previous results do not ensure future results,” according to Burwick.
Pump.fun’s controversial legacy
Since its inception in January 2024, Pump.fun has emerged as a significant player in the meme coin domain, credited with the production of over 6 million tokens, according to Dune Analytics data.
While it marketed itself as a gateway for users lacking technical skills to launch tokens, the platform quickly became associated with speculative trading and risky conduct.
Pump.fun faced backlash for its now-discontinued livestreaming functionality, where users engaged in extreme stunts to promote their tokens.
This involved actions that crossed ethical limits and demonstrated cruelty, including animal mistreatment and a staged suicide.
Moreover, the UK Financial Conduct Authority prohibited its residents from accessing the platform in December, citing potential risks to investors.
In spite of its ability to generate revenue, Pump.fun has faced criticism for fostering a system where a select few benefit while the majority endure financial hardship.
Statistics reveal that merely 0.4% of wallets on the platform have achieved profits surpassing $10,000, raising concerns about its equity for typical users.
Pump.fun has yet to respond to Decrypt’s request for commentary.
Edited by Sebastian Sinclair
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