Pump.fun Co-Founder Says Fee Model Failed, Announces System Revamp

Описание: Meme Coins

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Pump.fun co-founder Alon acknowledged the platform's creator fee mechanism failed to deliver sustainable results, announcing system revamp letting traders decide token revenue-sharing.

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Anas Hassan

Crypto Journalist

Anas Hassan

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Jun 2025

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Anas is a crypto native journalist and SEO writer with over five years of writing experience covering blockchain, crypto, DeFi, and emerging tech.

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Pump.fun co-founder Alon acknowledged that the platform’s creator fee mechanism has failed to deliver sustainable results, prompting a major system overhaul that will let traders decide which tokens deserve revenue-sharing arrangements.

The admission comes as the Solana-based memecoin launcher faces mounting legal pressure and market-share erosion while attempting to balance creator incentives with trader participation.

Although there has been some increased trading activity in recent days, it is nowhere near what it was before.

The platform introduced its first changes through a fee-sharing feature that allows creators to distribute revenues among up to 10 wallets, transfer coin ownership, and revoke update authority.

The update aims to address transparency issues that previously forced token holders to trust deployers to manually redirect fees to intended recipients.

Dynamic Fees Drew Creators But Discouraged Trading.

Alon explained that Dynamic Fees V1, launched months earlier, appeared initially successful, attracting creators who had never used crypto applications.

“Only a week later, the potential of the mechanism showed: more and more creators—many of which have never touched a crypto app before—began organically launching coins and streaming on the platform,” he wrote.

The streaming meta that followed doubled platform activity, with bonding curve volumes surging 2x within weeks of the fee structure’s implementation.

However, the model created an imbalanced ecosystem by incentivizing low-risk coin creation over high-risk trading activity.

“Traders are the lifeblood of the platform,” Alon wrote, noting that successful tokens require environments where market participants provide liquidity, generate volume, and take risk.

He added that “creator fees may have skewed the incentive for users to engage in low-risk activity (coin creation) instead of high-risk activity (trading), which is dangerous.“

Alon acknowledged that creator fees “are a great tool to incentivize high-quality Project Tokens” but admitted the platform “fails at providing a good user experience” for narratives that could use fees to raise project ceilings.

The new system will implement “a market-based approach, and let traders decide whether a narrative truly deserves Creator Fees, and how those should be used.”

He concluded on an optimistic note, stating that he is “extremely excited for what 2026 holds.”

Community Backlash Against Creator Fee Structure.

The announcement drew sharp criticism from industry...

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