Pump.fun’s new decentralized exchange, PumpSwap, has reached $1.52 billion in trading volume just a week after launch.
Dune Analytics data shows that PumpSwap DEX has handled more than 14 million swaps, bringing in a total of $3.03 million in fees. The current 0.25% trading fee structure allocates 0.20% to liquidity providers and 0.05% to the protocol. However, this will change after Creator Revenue Sharing is implemented.
The majority of PumpSwap transactions are small despite the high trading volume. According to data from Flipside, 21.40% of trades are between $10 and $100, while 65.22% involve amounts under $10. 441,000 wallets are currently active on the platform. As of Mar. 25, PumpSwap held a 19% market share, with Raydium (RAY) still leading at 45%.
Built on top of Solana (SOL), PumpSwap was launched on Mar. 20 and uses a constant product automated market maker model, just like Raydium v4 and Uniswap (UNI) v2. AMMs are decentralized exchanges that allow trading without middlemen by using liquidity pools rather than order books. All Pump.fun coins that finish their bonding curve are now listed on PumpSwap.
To streamline trading, PumpSwap introduced instant migrations, removing the previous 6 SOL migration fees. The platform also supports trading beyond memecoins, listing tokens from Pudgy Penguins (PENGU), Aptos (APT), Tron (TRX), Jupiter (JUP), and LayerZero (ZRO), along with wrapped assets like Coinbase Wrapped BTC (CBBTC), Ethena USDe (USDE), and Frax Finance’s frxUSD and FXS.
As competition in the Solana memecoin space heats up, Raydium recently launched LaunchLab, a memecoin factory offering token creation and launch features similar to Pump.fun.
LaunchLab allows projects to adjust token pricing dynamically and also lets third-party interfaces set custom fees, enabling a variety of user experiences. Unlike PumpSwap, the platform is yet to pick up significant traction.