Pump.Fun, a Protocol That Helps Crypto Users Create and Gamble on Memecoins, Has Generated Almost $6.3 Million in Revenue in the Last Seven Days

While Pump.Fun is approaching $100 million in cumulative revenue, its users and the tokens minted via the memecoin factory have not seen the same level of success.

Pump.Fun, a protocol that allows crypto users to create and gamble on memecoins, has generated nearly $6.3 million in revenue over the past seven days. This surpasses revenue generated by established projects like layer 1 network Solana, decentralized lending venue Aave, and stablecoin issuer MakerDAO.

However, despite Pump.Fun's approaching $100 million in cumulative revenue, its users and the tokens minted through the memecoin factory have not experienced the same level of success.

According to a Dune Analytics dashboard created by an onchain analyst (@Adam_Tehc), over two-thirds of wallet addresses on Pump.Fun are showing a loss.

"If you're profitable, the reality is you're already outperforming most," wrote @Adam_Tehc on X.

The dashboard, while imperfect—calculating the profit and loss for each wallet address in an entire ecosystem is challenging and requires making certain assumptions about price and timing—was described by Andrew Hong, head of developer relations for Dune Analytics, as "overall still great data work."

Adding further context to the dashboard's metrics, @Adam_Tehc noted that the displayed realized losses are likely lower than the actual losses, as the dashboard does not fully account for trades that users may have exited at a loss.

Moreover, the dashboard does not include any unrealized losses, which could be substantial for users who are still holding tokens that are trading below their entry price.

Highlighting the stark disparities within the Pump.Fun ecosystem, one X user (@Sexxy_NFT) pointed out the contrasting narratives of the platform's revenue and the struggles faced by its users.

"Most memecoin traders chase phantom gains, ending up empty-handed," wrote @Sexxy_NFT. "A select few strike gold, fueling the illusion but the house always wins."

"The real profit lies not in playing, but in creating the game itself," they added.

As a token on Pump.Fun reaches a market cap of $69,000, a portion of the cryptocurrency's liquidity is placed on decentralized exchange Raydium and burned. Out of the total tokens deployed, only 1.03% have graduated from Pump and are listed on Raydium.

For instance, over the past 24 hours, out of the 11,743 tokens launched, 136 reached a market cap of $69,000 and were promoted to Raydium, as indicated by @Adam_Tehc's dashboard.

Meanwhile, the seven-day net realized profit for Pump.Fun stood at -$11.3 million at the time of writing, according to data from Footprint Analytics.