Pump.fun moves $11M in SOL to Kraken as trading activity drops amid LIBRA scandal

Pump.fun, the Solana-based meme coin launchpad, deposited 65,122 SOL ($11M) adding to its substantial exchange activity. 

According to a Feb. 20 X post by on-chain analytics firm Lookonchain, the platform has now transferred 2.35 million Solana (SOL) ($473 million) to Kraken and sold 264,373 SOL for $41.64 million USDC, while its total earnings stand at 2.93 million SOL ($515 million).

Pump.fun’s daily trading volume fell 52% from its monthly high of $243 million on Feb. 11, averaging 122 million on Feb. 19, according to a Dune dashboard.

This drop follows the LIBRA token controversy involving Argentine President Javier Milei. Milei’s endorsement of the Solana-based token triggered a frenzy, only for the token to plummet shortly after. 

The incident has heightened worries about market manipulation, insider advantages, and how platforms like Pump.fun contribute to excessive speculation. Critics argue that the platform has become a high-stakes gambling casino where bots and insiders rule and ordinary traders are left to absorb the risk.

Some have compared its impact to FTX, claiming it prioritizes spectacle over sustainability and profits at the expense of market integrity. Despite the slowdown, Pump.fun continues to generate substantial fees, bringing in $17 million in the last 7 days, according to data from Dune analytics.

On February 15, Pump.fun launched its iOS and Android apps in an attempt to boost momentum. The app facilitates user interaction with the Solana memecoin ecosystem by providing features like watchlists, portfolio management, and fast token creation. 

In the coming months, the platform’s capacity to handle growing regulatory scrutiny will determine its future, as well as the larger memecoin trend that continues to dominate the market.