Justin Sun has launched SunPump, a direct competitor to Solana’s Pump.fun, which enables fast and easy meme-coin creation on the Tron blockchain. The platform has quickly attracted a large user base, generating substantial revenue.
Justin Sun has entered the meme-coin arena with his new platform, SunPump, which facilitates the easy creation of meme-coins on the Tron blockchain. This platform mirrors the successful Pump.fun, a leading platform on Solana known for enabling swift launches of meme-coins while generating significant revenue.
Since its debut on August 13th, SunPump has rapidly gained traction, amassing over 8 million TRX in fees, equivalent to approximately $1.3 million, according to data from Dune Analytics. During the same period, the platform has seen the creation of over 23,000 meme-coins on the Tron blockchain.
While many of these meme-coins have turned out to be scams, a few, such as Sundog, have delivered substantial returns, soaring to a market cap of over $238 million within days.
The introduction of SunPump has notably benefited two other major entities within the Tron ecosystem.
The primary beneficiary is SunSwap, Tron’s decentralized exchange, where the fees from SunPump contribute to the buyback and burning of its native token, $SUN, which has already doubled in value lately. $SUN growth could continue if the excitement around Tron’s meme-coins persists.
Another beneficiary is Tron (TRX) itself. Should SunPump draw meme-coin traders away from Solana, it could significantly boost demand for TRX. Despite a generally weak market, TRX has seen a 20% increase over the past week.
The key question now is whether Tron can entice Solana degens to its platform. Many believe it has a strong chance, and with Justin Sun’s resources and money, he will likely do everything possible to promote new meme-coins and draw more degens to Tron.
However, it is also important to remember that Justin Sun is well known for copying or acquiring various crypto businesses and quickly losing interest in them. Although he is probably one of the wealthiest individuals in the crypto space, his reputation remains patchy.
Additionally, while meme-coins help attract a new audience to the blockchain, they do not appear to be a sustainable long-term growth strategy and more closely resemble online gambling.
According to the latest data, on Pump.fun, out of the 1.5 million tokens launched, only 15 have maintained a market cap of over $10 million for several weeks. Additionally, the vast majority of traders on Pump.fun are losing money, with only 0.5% of traders having made more than $10,000.