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PumpSwap has launched a revolutionary revenue-sharing model that distributes 50% of trading income to memecoin creators, enhancing engagement and loyalty.
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This innovative approach positions PumpSwap against leading Solana DEXs like Raydium, which boasts over $517 million in daily trading volume.
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Pump.fun has reported impressive earnings, generating $296 million in transaction fees for 2025, and demonstrating PumpSwap’s early success with an $80 million daily volume shortly after its launch.
PumpSwap’s new revenue-sharing model aims to transform the landscape of Solana DEXs by incentivizing memecoin creators and enhancing trading volume.
Pump.Fun is Gearing to Increase Solana DEX Market Share with PumpSwap
Users on PumpSwap can conveniently claim rewards through their connected wallets, with automatic payouts in SOL. This feature adds an attractive incentive for token creators, potentially making PumpSwap a go-to platform within the decentralized finance (DeFi) community.
PumpSwap’s initiative could pave the way for enhanced creator engagement, marking a significant shift in the DeFi ecosystem, particularly targeted at established exchanges like Raydium.
Understanding the Revenue Model: How Much Can You Earn?
Each trade involving a memecoin yields a remarkable earning potential, with a commission structure that rewards creators by 0.05% (5 basis points) of the trading volume. For instance, a token that achieves $10 million in trading volume would generate $5,000 for its creator, making PumpSwap one of the most lucrative launchpads for digital assets.
The Competitive Landscape: PumpSwap vs. Raydium
In a time where Raydium holds a daily trading volume of over $517 million, PumpSwap is rapidly gaining traction, reaching $80 million just within its first two months. This feat indicates strong market acceptance and user engagement, especially in a saturated market landscape.
Pump.fun’s proactive revenue-sharing model could set a new standard among DEXs within the Solana ecosystem, potentially stimulating increased activity across platforms as creators strive for profitability and exposure.
Top 10 DEXs In Terms of Daily Trading Volume. Source: CoinGecko
Future Implications of PumpSwap’s Launch
As more creators look for sustainable income through active trading incentives, the success of PumpSwap may encourage competitors to adopt similar models. This could reshape revenue dynamics within the entire DeFi space, compelling other platforms to reconsider their value propositions.
Pump.fun’s impressive transaction fee generation, culminating at approximately $296 million so far this year, positions it as a key player in DeFi, even outperforming Ethereum’s $249 million during this timeframe. Following a brief revenue spike of $14 million in January, the platform is experiencing a resurgence with steady revenues between $1 million to $2 million in May.
Conclusion
PumpSwap is not just enhancing the trading experience for memecoin creators; it may also be setting a precedent for future decentralized exchanges. This model represents a significant opportunity for creators, while simultaneously challenging traditional dynamics within the DeFi ecosystem. Ultimately, the success of PumpSwap can redefine how DEXs operate and attract liquidity moving forward.
