The Solana-based meme coin launchpad, PumpFun has deposited 105,233 SOL—equivalent to $15.86 million—to the crypto exchange Kraken once again.
This move marks another significant transfer of SOL, as the meme coin platform has now transferred a total of 3,202,498 SOL ($591 million) to Kraken at an average price of $185 per SOL.
The transaction was tracked by Lookonchain, which has tracked multiple transaction of SOL from PumpFun’s fee collecting wallet to Kraken’s deposit address. Additionally, the platform has sold 264,373 SOL for 41.64 million USDC at $158, showcasing a clear strategy to sell all the fees accumulated from users on the platform.
Pumpfun’s activity underscores its dominant position in Solana’s meme coin economy, a sector that accounted for 47% of Solana’s decentralized exchange (DEX) volume in March, according to K33 Research.
However, Pumpfun’s aggressive profit extraction has drawn criticism from the community, with some accusing the platform of maximizing value extraction at the expense of its user base.
Meanwhile, competition in the meme coin launchpad space is heating up. Raydium’s LaunchLab, which debuted in April, has captured 24% of daily new meme coin launches, challenging Pumpfun’s cultural dominance. LaunchLab’s integration into Raydium’s automated market maker (AMM) pools offers superior economics and flexibility, positioning it as a formidable rival.
Analysts at K33 Research suggest that the winner of this battle will likely deliver the next breakout token, as meme coins like FARTCOIN (surging 440% since April) continue to drive retail speculation on Solana.
The broader context reveals Solana’s economic fluctuations, with its real economic value dropping from $27.6 million on November 24, 2024, to $4.65 million by December 30, 2024, per The Block. Despite this, Solana’s network liquidity remains a key strength, enabling platforms like Pumpfun to move massive volumes.
As the meme coin market evolves, the tension between innovation, user incentives, and profit motives will shape the future of Solana’s ecosystem. For now, Pumpfun’s latest deposit signals both its influence and the challenges it faces in retaining community trust.
