Pump.Fun, a protocol that is helping crypto users create and gamble on memecoin, has generated more than $6.3 million in revenue in the last week. This is a rather impressive result, as it surpasses the result of many other well-known names in the crypto space like the Layer 1 network like Solana, decentralized lending venue Aave, and stable issuer MakerDAO. While the protocol is approaching $100 million in cumulative revenue, its users and the tokens minted via the platform aren't facing the same level of success.
Almost two-thirds of the wallet addresses on Pump.Fun are unprofitable, according to the Dune Analytics dashboard created by on chain analyst, Adam_Tehc.
Adam is even saying that if you're making a profit out of the platform, it could only mean that you are outperforming the majority of the users of the platform who are losing money.
Jumping ship to Sunpump
In light of the criticisms directed at Pump.Fun,it is inevitable that its rival platform,SunPump, would also be scrutinized. SunPump is a protocol similar to Pump.Fun, with promises to offer creators the security and affordability that is missing from the PumpFun platform.
The platform has also attracted the attention of the crypto due to its amazing performance. In just a few weeks of its launch, the platform recorded a revenue of over $1.1 million. Furthermore, the platform has promised to put in place all the different security issues that would resolve all the issues that users on Pump.Fun are facing. This has made many to beg the question that should the existing users on the Pump.Fun protocol jumpship to join a seemingly more secure and profitable platform like SunPump?
Could SunPump really be the successor of Pump.Fun?
So could SunPump really be the successor of the dying Pump.Fun? While only time will reveal the full scope of SunPump's legitimacy and user profitability, the platform is already facing criticism due to its association with Justin Sun, its founder. Many critics are calling SunPump yet another pyramid scheme under Sun's leadership, with allegations of insider trading to manipulate revenue figures. Investors are angry that Sun is treating them like fools, thinking that he could so easily manipulate his investors into his deceptive schemes.
In my opinion, I believe it won't be a smart choice to jump ship from PumpFun to SunPump, as it would be akin to escaping from a pirate ship to board another pirate ship. Investors would find themselves in an even worse predicament than before.
Edmund
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