Key Highlights:
  • PumpSwap will now share 50% of its protocol revenue with token creators.

  • Eligible creators earn 0.05% in SOL per transaction involving their token.

  • The move has sparked backlash, with critics saying it could incentivize bad actors.

Creator Incentives Added to PumpSwap

PumpSwap, a decentralized exchange tied to the memecoin launchpad Pump.Fun, has launched a revenue-sharing program that gives token creators a share of protocol fees. Creators will receive 0.05% (5 basis points) of each qualifying transaction in SOL.

Based on Strong Trading Volumes

With April trading volume reaching $11.2 billion, the new model could have paid out roughly $5.6 million to creators. PumpSwap charges a 0.25% swap fee, and the creator cut is now part of that structure, according to updated documentation.

Criticism Over Potential for Abuse

Community response has been mixed, with many X users warning the update could incentivize rug pulls or encourage devs to abandon projects while still collecting revenue. Others say it could undermine community-driven token takeovers.

Pump.Fun launched in early 2024 and allows users to create tokens instantly using a bonding curve model. PumpSwap was introduced in March 2025 to handle liquidity and migration as tokens grow in market cap.

Read the full article on theblock.