Pump.fun burns $370M of PUMP, locks half of fees

On April 29, Pump.fun executed onchain burns totaling roughly $370 million in PUMP tokens and committed half of net platform fees to an irreversible buyback-and-burn smart contract that will run for 12 months.

Blockchain records show two large burns. An initial destruction of 128.22 billion PUMP, valued at about $233 million, was followed by additional open-market purchases and burns that brought the total to approximately $370 million.

The locked smart contract will route 50% of net fees from Pump.fun’s Bonding Curve, Pumpswap and Terminal products to automatic open-market purchases of PUMP, which the contract will burn immediately. The contract is irreversible and cannot be modified. The remaining 50% of net fees are allocated to operations and strategic reinvestment. Previously, Pump.fun routed 100% of platform revenue to buybacks.

Market data showed an immediate response. PUMP’s price rose about 7% on the announcement and 24-hour trading volume increased 137.87% to $161 million. The token’s market capitalization reached about $631.7 million, with a fully diluted valuation near $1.9 billion.

PUMP remains roughly 84% below its all-time high of $0.01214, which was reached in July 2025 when Pump.fun’s initial coin offering raised about $600 million in 12 minutes. After that ICO surge the token later traded below its issue price for a period.

Pump.fun reported more than $1 billion in lifetime revenue since launch. The locked contract is designed to carry out continuous buybacks and burns according to code rather than through manual actions. All burns and the contract deployment are recorded onchain and visible in public transaction records.

The locked buyback-and-burn contract will operate for 12 months, executing purchases on the open market and burning the acquired tokens immediately; there is no mechanism within the contract for reversal or modification.