Gate.io Removes Pump.fun From Its Platform Over Abscondment Allegations
The crypto community is puzzled after crypto exchange Gate.io silently removed a webpage detailing a giant upcoming token sale for Pump.fun, a memecoin platform based on Solana. The page that has now been removed had been discovered by users on X (formerly Twitter), where it was indicated that the launch of the public token offering for the platform would be on 12 July for $600 million.
The now-removed post had a listing where it was obvious a sale of 150 billion PUMP tokens (at a price of $0.004 each) would result in Pump.fun being worth $4 billion. The overall supply of tokens is at 1 trillion. It was referred to as the platform’s “first official public token sale.”
However, without any official announcement or press release, the token sale page disappeared over the weekend from both Gate.io’s English and Chinese sites, with the website now showing “404 – Page Not Found.”
Gate.io Responds, Causing More Confusion
A user inquired about recent developments at Gate.io’s support team and received a vague response:
“Pump.fun Pre-Market OTC delisted by Gate after negotiation between Gate and the project. Currently, they haven’t announced a confirmed reopening date for that either.”
According to an earlier communication from October 2024, the exchange suspended providing over-the-counter (OTC) trading services for Pump.fun. With this, it is unclear whether the token sale received any support.
Neither Gate.io nor Alon Cohen, the creator of Pump.fun, has responded to a media request for clarification.
Pump.fun: From Hype to Decline?
According to Dune Analytics, Pump.fun, the platform that lets users create new tokens, saw explosive popularity earlier this year during the Solana memecoin minting spree. The growth has allowed the creation of over 11 million tokens that generated over 4.4 million SOL (around $655 million).
However, that explosive growth has cooled significantly. According to reports, the trading volume on this exchange has plummeted 75% since January. According to DefiLlama, a decentralized finance data aggregator, the trading volume has dropped even more—by 80% over the past six months.
LetsBonk, a rival memecoin launchpad, dealt a blow to Pump.fun’s daily revenue by raking in $1 million, potentially shaking up the domain’s leadership.
Token Sale Rumors and Market Uncertainty
Since the beginning of June, rumors about a $1 billion raise via the Pump.fun token have been circulating. Although all this is going on, the Pump.fun team and its creator have not confirmed anything yet.
This recent incident shows a larger trend in crypto where market-initiating announcements or sudden turnarounds often cause confusion and volatility. A recent case was the retraction of the TRUMP Wallet from the Magic Eden announcement, which caused the ME token to crash.
What’s Next?
The community is in the dark about whether it was an early reveal, a cooling down on a partnership, or just a communication error—until Gate.io or Pump.fun issue an official announcement.
Investors have to be careful about investing in related token offerings. In the fast-paced world of memecoins, everything could quickly turn chaotic, so having clarity and credibility is helpful.
