Pumpfun announces that 50% of its revenue will be used to buy back and burn PUMP tokens
Pumpfun announced an adjustment to its token economic model, allocating 50% of net income for the repurchase of PUMP tokens and immediately burning them all, replacing the previous practice of using 100% of income for repurchase but retaining it in the treasury. The community had previously criticized that the repurchase failed to effectively support the token price. The 50% repurchase allocation covers the net income from Bonding Curve, PumpSwap, and Terminal products, while the remaining 50% will be used for operations, recruitment, and strategic investments.
Pumpfun also disclosed that previous repurchases had destroyed approximately 36% of the circulating supply of PUMP, and the price of PUMP briefly rose after the announcement. Co-founder Alon stated that this move aims to establish a sustainable token value support mechanism.
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