On May 12, Pump.fun introduced a groundbreaking revenue-sharing mechanism designed to reward token creators with 0.05% of trading volume in Solana (SOL) from transactions conducted on PumpSwap. This initiative marks a significant shift in how token creators can monetize their projects, aligning incentives with the platform’s growing ecosystem.
Eligibility and Reward Structure
Tokens qualify for earnings if they are newly created, still on Pump.fun’s bonding curve, or previously moved to PumpSwap. Retroactive rewards are unavailable, so volume before May 12 is not available. Only transactions after the cutoff date count toward earnings.
Based on DefiLlama data, the new system would have distributed nearly $7.3 million in rewards to creators last month, given the combined $14.6 billion in trading volume across Pump.fun and PumpSwap during April.
“Creators can claim their rewards at any time, with no lock-up periods or thresholds,” states the platform.
Rewards are automatically accrued and can be claimed on-chain through users’ wallets by accessing their profiles on Pump.fun.
Fee Structure Update Sparks Speculation
The program updates Pump.fun’s monetization model, with PumpSwap allocating 50% of revenue to creators—equaling 0.05% per transaction. However, the full fee structure hasn’t been formally updated yet. Currently, PumpSwap charges 0.20% to liquidity providers and 0.05% to the protocol. This totals 0.25% in fees.
The implication that creators now receive an additional 0.05% suggests the total trading fee may have increased to 0.30% , with 0.25% distributed to LPs and creators, and 0.05% retained by the platform.
Final Thoughts
Pump.fun’s revenue-sharing mechanism represents a bold step toward empowering creators while fostering growth within its ecosystem. By enabling token creators to earn directly from trading volume, the platform strengthens its position as a leader in the Solana memecoin space.
This initiative not only incentivizes innovation but also reflects broader trends in decentralized finance, where user-centric models are gaining traction. Solana’s memecoin ecosystem is thriving, and Pump.fun’s move could set a precedent for balancing profitability with community engagement. The long-term success of this strategy remains uncertain. However, it highlights the platform’s dedication to rewarding contributors and driving memecoin adoption.
