The post Pumping the Breakout: Pump.fun Moves Trading In-House with PumpSwap appeared on BitcoinEthereumNews.com.

Solana-based memecoin platform Pump.fun has launched its own decentralized exchange, PumpSwap, aiming to streamline token trading and reduce user friction while intensifying competition with Raydium. Pump.fun Introduces PumpSwap  Pump.fun, a Solana-based memecoin launchpad, has announced the launch of its own decentralized exchange (DEX), PumpSwap. The move marks a significant shift in Solana’s decentralized finance (DeFi) ecosystem, positioning PumpSwap as a direct alternative to Raydium, which has thus far served as the primary trading venue for Solana-based memecoins. Effective March 20, all memecoins that complete their bonding curve on Pump.fun will be automatically migrated to PumpSwap. This transition eliminates the previous reliance on Raydium for liquidity provisioning and trading, thereby reducing transaction complexity and costs for users. Reducing Friction and Costs for Users One of the key advantages touted by Pump.fun is the elimination of the 6 SOL migration fee that users previously incurred when shifting bonded tokens from Pump.fun to Raydium. By keeping the trading flow entirely within its own ecosystem, Pump.fun aims to remove what it described as a major point of friction that slowed momentum and complicated the user experience. The bonding curve mechanism — a model that sets token prices based on supply, typically increasing cost as more tokens are bought — will remain central to Pump.fun’s operations. However, the post-bonding phase will now occur on PumpSwap instead of Raydium, enabling faster and more seamless transitions. Feature Expansion and Creator Incentives PumpSwap is reportedly modeled after Raydium V4 and Uniswap V2, aiming to provide a simple and frictionless trading interface. Notably, Pump.fun plans to introduce revenue-sharing mechanisms, allowing a portion of protocol revenues to be distributed to coin creators — a feature inspired by rival platform GoFundMeme. Pump.fun believes this approach could align incentives between creators and communities, potentially driving higher quality and more sustainable token launches.…

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Filed under: News - @ March 23, 2025 2:20 am