Solana-based memecoin platform, Pump.Fun faced a dramatic 33% revenue drop after pulling plug on its controversial livestreaming features. The decision followed a bizarre incident where a user staged a fake suicide during a live broadcast to promote their memecoin.
However, the marketing move backfired spectacularly, dropping Pump.Fun’s daily revenue to $3.6 million from $5 million in a single day, according to DeFiLIma data.
Initially, Pump.Fun’s live streams were a magnet for viral stunts and over-the-top celebrations. This includes a middle-schooler flaunting $30,000 from a controversial rug pull.
However, the fake suicide incident sparked a firestorm of backlash, which forced Pump.Fun shut down its live-streaming service and left users questioning the platform’s ethical boundaries.
Since its inception, Pump.Fun has generated $230 million in revenue. However, some analysts warned that the platform’s unchecked chaos may have finally caught up with it. Competitors on rival platforms like Base are already eyeing disillusioned users.
Recent incidents have sparked fears about the dangers of the unregulated memecoin market, which often lacks protections against illicit practices and harmful content. While Pump.Fun’s live-streaming features initially boosted its popularity through viral moments, it also exposed major vulnerabilities.
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