Pump.fun co-founder Alon Cohen said the airdrop will not happen in the near future. As a result, the price of PUMP fell by 18.7%. At the time of writing, the market value of the meme coin is $0.003, according to CoinGecko. Over the past week, PUMP has fallen by 42.4%. Problems at the ”Meme Token Factory” Law firm Burwick Law has filed a class action lawsuit against Pump.fun, Solana Labs, Solana Foundation, Jito Labs, and Jito Foundation. The plaintiffs accuse these parties of operating an illegal gambling business. Pump.fun has been compared to a “slot machine,” mass-producing and promoting tokens. The platform has been accused of operating without proper disclosure or investor protection. The plaintiffs allege that Pump.fun allowed tokens to be launched and traded anonymously, without identity verification. They claim the “meme token factory” created an environment that was inherently unfair from the start. This was accomplished through pricing based on bonding curves and preferential trading for insiders and bots. The charges were brought under the Organized Crime and Corrupt Practices Act. The defendants are accused of fraud, false advertising, offering unregistered securities, and deceptive practices. Damages to users are estimated at $4–5.5 billion based on on-chain data. Lawyers emphasized that Solana and Jito were not neutral infrastructure providers. Jito is accused of facilitating frontrunning with MEV tools, while Solana Labs and the Foundation are alleged to have monetized user activity through block fees. Competitor Performance At the same time, Pump.fun’s competitor, meme coin launchpad LetsBonk, announced a program to support its ecosystem’s tokens. The team will redirect 1% of its income from the marketing fund to buy back coins in the platform’s most successful trading pairs. According to Dune, LetsBonk has earned around $1.4 million in fees in the last 24 hours. LetsBonk founder Tom stated that buybacks will occur weekly. Any trading pair that achieves “high scores” will be eligible for the program. The total capitalization of tokens launched on LetsBonk has already exceeded $1 billion. The largest asset in the ecosystem is Useless Coin, followed by ANI. Recall that on July 12, the PUMP presale was completed in just 12 minutes, collecting 500 million tokens. However, within a few days, it emerged that nearly 60% of ICO participants had sold or transferred their assets to centralized exchanges or other wallets. On July 22, the PUMP rate dropped below the ICO price. From a high of approximately $0.0068, the token’s value has fallen by 45%.
