Pump.fun, the Solana-based memecoin launch platform, is shaking up its creator fee system after realizing that last year’s Dynamic Fees V1 incentivized coin creation due to the trading activity that fuels the platform.
Summary
- Pump.fun is updating its maker fee structure after Dynamic Fees V1 incentivized low-risk coin creation over active trading, which is essential for the health of the platform.
- Platform creator fee sharing allows teams to split costs across up to 10 wallets, transfer ownership of coins, revoke update permission, and assign reimbursement percentages post-launch.
- Future updates will take a market-based approach, allowing traders to determine whether a token story justifies creator fees, rebalancing incentives heading into 2026.
Pump.fun co-founder Alon Cohen acknowledged this in his first X message in more than two months, the V1 model managed to attract new builders and stimulate activity on the chain, but failed to meaningfully influence the behavior of average memecoin implementers. “Creator fees may have distorted incentives toward low-risk coin creation rather than high-risk trading,” Cohen wrote, emphasizing that traders are the lifeblood of the platform.
Introduced in September as part of Project Ascend, Dynamic Fees V1 used tiered fees based on token market capitalization, reducing fees as the tokens grew to balance long-term sustainability with participation.
Now, Pump.fun is introducing creator fee sharing, allowing teams to split fees across up to 10 wallets, transfer ownership, and assign reimbursement percentages post-launch. Future updates will adopt a market-based approach, allowing traders to decide whether a token story justifies maker fees.
Cohen said the changes are just the first step in rebalancing incentives heading into 2026, signaling a shift from rewarding operators to empowering the traders who keep the memecoin markets alive and vibrant.
#Pump.fun #memecoin #fees #reward #traders