Pump.fun Co-Founder Denies Rumors of Upcoming Token Launch

The co-founder of Pump.fun has denied circulating rumors about an upcoming token launch, urging users to disregard information not directly shared by the platform.

Pump.fun co-founder denies rumors of upcoming token launch

Pump.fun co-founder Alon Cohen has urged users to disregard any information about an upcoming token launch that is not directly shared by the platform.

In a statement posted on X, Cohen said that his team is focused on making product improvements and “rewarding users properly.”

The statement comes amid increased attention from both traders and regulators on the platform, which has seen a surge in popularity among users.

Earlier, crypto analyst Wu Blockchain reported that Pump.fun is preparing to launch a token through a Dutch auction model in collaboration with centralized exchanges.

The token is rumored to feature revenue sharing and exclusive platform access for holders.

However, Cohen's statement contradicts these reports, emphasizing that users should only rely on official announcements from the platform.

Pump.fun has emerged as a leading meme coin launchpad on the Solana (SOL) blockchain, enabling users to create and trade tokens swiftly.

Despite its appeal to traders, the platform has faced several legal challenges.

On Jan. 16, Burwick Law and Wolf Popper LLP filed the first major lawsuit against the platform.

The lawsuit alleges violations of U.S. securities laws through the facilitation of unregistered securities sales disguised as meme tokens.

The complaint highlights the case of the Peanut the Squirrel token, which is alleged to have experienced artificial price inflation through influencer promotions before a collapse.

The legal pressure on Pump.fun intensified on Jan. 30, with a second lawsuit expanding allegations against Baton Corporation Ltd., Pump.fun's operator, and key platform executives.

These lawsuits allege coordinated price manipulation schemes that have harmed retail investors.

The co-founder's warning against unauthorized claims comes as the platform faces increased regulatory scrutiny.