- Pumpfun buys 3.196B $PUMP with $19.2M in SOL
- Shift from Kraken sell-offs to open-market accumulation
- $PUMP price rebounds after sold-out $500M presale
Pumpfun has made a surprising move in the market. In the past 8 hours, they initiated an open-market buyback, spending over 118,000 SOL (worth approximately $19.2 million) to purchase 3.196 billion $PUMP tokens. This marks a sharp pivot from their previous strategy of selling off fee revenue via Kraken.
This buyback, funded directly from their protocol fee earnings, was sent from various fee accounts to a wallet labeled “3vkpy5” for accumulating $PUMP at an average price of around $0.006. It reflects a bullish signal from the team and shows a renewed commitment to supporting the token’s market value.
From Selling Fees to Accumulating $PUMP
Before this strategic shift, Pumpfun had been offloading its fee-generated SOL regularly on Kraken. Since May 19, 2024, nearly 4.1 million SOL — roughly $741 million worth — was sold at an average price of $180. This large-scale selling placed some pressure on the market and was viewed by many as a bearish move.
But this buyback changes the narrative. It’s the first time Pumpfun has redirected fee income to buy $PUMP directly, suggesting confidence in the token’s long-term value. The buyback mechanism acts as a strong support level and could help stabilize the price after the post-presale dip.
Presale Hype and Market Rebound
It’s worth noting that Pumpfun recently held a massive $500M+ presale, selling out in just 12 minutes at $0.004 per token. Though the token dipped slightly after launch, the recent buyback activity has helped it recover quickly.
With buybacks now in play and fee revenues reinvested back into the ecosystem, Pumpfun appears to be aligning incentives better with its community and holders. If this trend continues, $PUMP may see more price support and potential upward momentum in the coming weeks.
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