The native token of Solana-based memecoin platform Pump.fun (PUMP) surged nearly 20% on July 16, 2025, briefly hitting a new all-time high of $0.00681 following the launch of a major buyback initiative. At publication time, PUMP traded around $0.0063, marking a 14% 24-hour increase.
Pump.fun allocated 187,770 SOL (worth $30.6 million) from platform fee reserves to repurchase PUMP tokens, with on-chain tracker Lookonchain confirming 118,351 SOL ($19.26 million) already spent to acquire 2.99 billion PUMP at an average price of $0.0064. The buyback aims to stabilize the token after post-debut volatility saw prices plummet over 40% despite a record-breaking initial offering that raised $500-$600 million in 12 minutes.
Market sentiment remains cautiously optimistic, though analysts question sustainability given PUMP's lack of utility (no governance, staking, or revenue-sharing). The move coincides with intensifying competition as rival platform LetsBonk surpasses Pump.fun in daily launch volume, while Pump.fun's platform volume plummeted from $11.6B in January to $3.65B in June. In response, Pump.fun acquired analytics firm Kolscan and implemented time-weighted buyback strategies funded by fee wallets.