Pump.fun, the memecoin launchpad that once powered Solana’s activity, is now weighing on the network. The project transferred 81,712 SOL to Kraken on July 18, on-chain data from EmberCN shows. Deposits to exchanges typically indicator planned sales – and Pump.fun has been leaning hard on that strategy.
EmberCN estimates the protocol has sold about 4.81 million SOL to date, at an average price of $168.3. That’s already above its total revenue of 3.92 million SOL. In other words, Pump.fun is burning through its token reserves faster than it earns them.
The selling spree comes as memecoin trading cools sharply. DefiLlama data shows Pump.fun’s daily fee revenue has dropped roughly 80% from the start of the year. Its native token, PUMP, has fallen 77.13% from its initial launch level. The project appears to be using SOL sales to plug the gap left by dwindling protocol income – a classic cash-raising move when the core business stalls.
Market participants now worry that Pump.fun’s continued SOL conversion could add to selling pressure across the broader Solana ecosystem. The launchpad was previously one of the biggest fee generators on the network. Sustained large-scale sales may also weigh on ecosystem growth, as capital that once stayed inside Solana is being withdrawn to cash.
The data points to a straightforward dynamic: a former growth engine is now an overhang. Pump.fun still holds a sizable SOL balance, but the pace of its sales – and the lack of any public plan to slow them – keeps the bear case alive. Traders will watch for the next on-chain movement to gauge whether the pressure eases or intensifies.
Pump.fun sells 81,712 SOL tokens as its revenue crashes 80%, risking wider Solana pressure
Pump.fun, a memecoin launch platform on Solana, sold 81,712 SOL tokens to the Kraken exchange amid an 80% drop in its revenue. This forced selling may increase price pressure on Solana and slow growth by withdrawing funds from the network.