pump.fun Launches Zero Fee Trading Terminal and Teases Airdrop, But Traders Aren’t Convinced

In the face of an evolving market, Solana’s leading no-code token deployment app, pump.fun, has taken bold steps towards expanding its product.

Just days after Jupiter launched its memecoin trading terminal, Ape Pro, pump.fun has entered the fray with a revamped trading tool of its own. 

How does pump.fun intend to siphon users back from popular tools like Photon, BONKbot, and Trojan?

pump.fun Undercuts Competitors with Zero Fees, Teases Airdrop

On October 19, 2024, pump.fun launched pump advanced. Similar to rival platforms like Photon, BullX, and Jupiter’s newly launched Ape Pro, pump.fun advanced aims to provide a faster, more seamless experience when trading Solana memecoins.

Like its competitors, pump advanced enables one-click buys, improved analytics, and secure social-based, noncustodial logins. Additionally, the new mini-charts feature makes it easier for traders to track the performance of a variety of assets from one unifying dashboard.

Despite the new tools, pump advanced’s most important feature is much more discrete. In a bid to bring traders back to the platform, pump advanced is expected to charge zero fees for the first month of operation.

pump advanced’s fee-free terminal offers a far more cost-effective platform than alternatives.. Leading apps like Photon and Trojan both charge a 1% trading fee, while Jupiter’s Ape Pro was already making significant cuts, with fees starting from 0.5%. 

Theoretically, lower fees mean that traders will retain greater value and be more profitable when trading through pump advanced, which the pump.fun team anticipates will bring traders back to the platform in force.

Alongside the announcement of pump advanced, pump.fun spokesman Sapupiju announced that pump.fun was “definitely planning on launching a token at some point”, speculating that “our airdrop will probably, no guarantees here, probably be a lot more lucrative than anyone else.”

By teasing its upcoming airdrop, pump.fun may be attempting to lure users back to the platform. Consequently, the announcement could also entice rivals like  Photon and Trojan to reveal more details around their own upcoming tokens. 

Trading Tools Are Some of Crypto’s Most Valuable Apps

Love it or hate it, pump.fun has been the biggest new crypto application of 2024. The simplified token deployer is responsible for over 2.5M token launches on Solana, generating over 960k SOL (valued at $160M).

However, users have often criticized pump.fun’s sub-optimal trading UX, preferring instead to use more comprehensive tools like Photon. 

According to DefiLlama, trading tools like Photon and BONKbot are some of the industry’s biggest revenue generators with four of crypto’s top ten most valuable apps belonging to this category. 

While pump.fun remains the primary application for token creation, trading predominantly takes place on third-party applications. By launching its own advanced trading terminal, pump.fun is undoubtedly trying to recapture users and expand its considerable platform and influence.

Users Unimpressed So Far

Despite pump.fun’s enthusiasm for the release, memecoin traders have so far been unenthused by the application. Social media commentators have largely eschewed pump advanced, preferring instead the familiarity and performance of existing platforms.

Others used the announcement as an opportunity to cast shade on pump.fun, highlighting that the new trading terminal simply enables pump.fun traders to fall victim to scams faster than before.

While pump.fun is undoubtedly one of crypto’s biggest applications, the platform has been widely criticized for the frequency of scams and rugpulls launched through the protocol. 

Based on Dune Analytics data, only 1.4% of all tokens launched via the application fulfil their bonding curve and graduate to trade on Raydium, Solana’s leading DEX by trading volume.

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