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- The crypto community is divided on Pump.fun’s novel idea to pay meme coin developers
- Some lend a hand in mind the pass as a bonus to developers whereas others say it leaves investors inclined to rug pulls
- The novel idea involves making meme coin advent free with the platform rewarding developers of profitable projects
Three months after a extinct employee tried to waste the undertaking, Pump.fun has undergone an toughen allowing meme coin developers to originate projects for free. The platform disclosed that it must give developers roughly $80 in SOL when their cash total a bonding curve. Though some in the neighborhood lend a hand in mind the pass a bonus since it eliminates the restrictions to launching novel meme cash, others look for it as an originate door for malicious developers to habits rug pulls, a vice that has plagued the industrial for years.
The First Buyer Pays the Bill
In an X put up, Pump.fun revealed that the tag of launching a meme coin the usage of the platform will likely be “paid by the first buyer of the coin.” The amount paid to meme coin developers will approach from Pump.fun’s migration fee, including that this helps incentivize developers “to win their coin[s] to 100%.”
This day we’re introducing 2 HUGE adjustments to the pump fun mechanism (in beta)
1) Coin advent is FREE
2) Coin creators obtain 0.5 SOL (~$80) when their coin completes its bonding curve
How does it work?
1) As a replacement of the creator having to pay ~$2 for coin advent, this cost… pic.twitter.com/Zp7DCJQoya
— pump.fun (@pumpdotfun) August 9, 2024
The platform also famed that a coin is build on the Solana blockchain when it records its first aquire. A coin completes a bonding curve when it hits a market cap of no longer no longer up to $69,000, after which it’s listed on DEXs.
The toughen has alternatively attracted every toughen and criticism from the community. Those supporting the commerce peek it as one way to empower developers to kind extra cash whereas also rising focal level on their cash.
A Free Rug Pull Season?
Some of those criticizing the toughen stated it paves the vogue for “free rug pulls.” Others stated it’ll lead to the “hyper inflation of cash” as devs ride the $80 reward. Some also insinuated that the simplified meme coin advent activity will attract inexperienced developers.
FREE RUG PULLS LETS GOOOOOO
— CAPO (@CapoMetaDao) August 9, 2024
With the toughen attracting criticism, it’s to be viewed whether or no longer Pump.fun will tackle issues just like the way it plans to provide protection to investors towards rug pulls and an identical tokens.
