Pump.fun revenue nears $400 despite memecoin slowdown

Update (Jan. 2, 11:30 am UTC): This article has been updated to remove inaccurate data. Solana memecoin generator Pump.fun overall revenue nears $400M, despite a downturn in the overall market capitalization of memecoins in December. Blockchain analytics platform Lookonchain reported that Pump.fun has earned 2,016,391 SOL tokens to date, pushing its total revenue to nearly $398 million. Pump.fun has reportedly deposited over $300 million in SOL tokens to Kraken and converted 41 million in USD Coin . Pump.fun’s impressive start to the year followed a record-breaking performance in November, when the platform earned $106 million in decentralized application revenue, becoming the first Solana DApp to surpass $100 million in monthly revenue.Memecoins lose $40 billion market cap in DecemberWhile Pump.fun gets closer to a new revenue milestone, the memecoin market has slowed down in December, with its overall market cap going down by over $40 billion. On Dec. 1, CoinMarketCap showed that the overall market capitalization for memecoins reached $120 billion. It surged even further to $137 billion on Dec. 9 before dropping to a low of $92 billion on Dec. 23. At the end of the month, memecoin market capitalization was around $96 billion, marking a 20% decrease compared to Dec. 1.Pump.fun revenue stays strong despite challengesThe platform’s daily revenue at the start of the year shows that users have continued to launch meme-based tokens despite the challenges faced by the platform last year. On Nov. 25, the platform came under fire for harmful content broadcast by users via its livestream feature. Reports of violence, self-harm and animal cruelty led to community backlash. In response, Pump.fun paused the livestream feature indefinitely, acknowledging the community’s concerns.Following the controversy, Pump.fun’s weekly revenue dropped by 66% toward the end of November. The United Kingdom’s financial regulator also set its sights on the Solana memecoin platform. On Dec. 6, the UK’s Financial Conduct Authority warned residents about the platform, saying it had been promoting financial services without permission. The regulator also blocked the memecoin platform in the country.