PUMP Jumps 6% After Pump.fun Burns About $370M Worth of Tokens

PUMP gained more than 6% over the past 24 hours after Pump.fun destroyed roughly $370 million worth of tokens, bucking a broader pullback in major large-cap crypto assets. Pump.fun said the burn eliminated about 36% of the circulating supply through two on-chain transactions. In a post on X, the team described the move as a "gesture of trust for the community," arguing that despite spending the past roughly nine months directing 100% of revenue into buybacks, investors still questioned the business's staying power, the reliability of buybacks, and the ultimate use of repurchased tokens. Alongside the burn, Pump.fun unveiled a formal buyback-and-burn framework. Under the new model, 50% of revenue from core products—including the bonding curve, PumpSwap and its terminal—will be routed through intermediary wallets before being consolidated into one or two wallets to purchase PUMP and permanently burn it. The schedule will be enforced by an irreversible smart contract set to run for one year. The team said shifting from 100% to 50% aims to keep supply reduction meaningful while supporting long-term operations. The remaining revenue will be held for growth initiatives such as product development, hiring, marketing and potential acquisitions. Pump.fun warned that allocating all revenue to burns could constrain the treasury and limit high-impact strategic investments, including acquisitions and new product ventures.