98 % of the symbols on pump.fun are rug or fraud: Report

A new report from Solidus Labs has revealed a great deal of “fraudulent” activity on Solana Blockchain.

The results revealed that 98.6 % of the POMP codes were launched.

Solana: Currency fraud?

There a reportThe encryption control company pointed to the low fees for Solana and easy -to -use decentralized decentralized exchanges (DeX) as major reasons because it has become a hot point for Mimi currency speculation.

“Investors warn, as the ecosystem continues to grow in Solana, has become increasingly zero to defraud mechanics,” Solis warned.

At the heart of this growth is Pump.fun, a Solana -based symbolism, which has witnessed daily trading volumes exceeding $ 100 million. According to Solidus, this number was mainly driven by the activity of the speculative Mim currency.

Between January 2024 and March 2025, more than 7 million symbols were published with at least five deals for each. Among these, only 97,000 retained liquidity that exceeds $ 1,000. The report concludes that 98.6 % of the symbols on the platform collapsed to pump plans and have no value to them shortly after the launch.

Earlier this year, Cryptopotato told a pump user who created at least 18,000 coins and recorded more than $ 3.7 million of fast -price pumps and strategic exits.

The platform has recently launched an automatic market maker (AMM) that applies the bonding curve pricing model. Under this system, the prices of the distinctive symbol increase significantly with each purchase, which benefits the first creators and buyers.

According to the analysis, this model is asking the participants later due to the high prices of the distinctive symbol and potential losses when creators filter their property.

A separate report of PINE analyzes as well High A practice known as publishing sniping, the same sniping. This method allows creators to profit by implementing deals within the same block that the distinctive symbol published.

Solidus Labs also checked Raydium, which is the other main DeX that is based on Solana and that uses traditional liquidity gatherings funded by the distinguished symbol. Of 388,000 analyzed swimming pools, 361,000, or 93 %, showed soft carpet pulling properties. This included incidents in which liquidity was suddenly withdrawn, causing price accidents.

Financial damage from these cases vary. About 25 % of the amounts concerned were less than $ 732. However, the average number was about 2,832 dollars, while the largest disclosure number reached $ 1.9 million.

Legal problems and disputes

In January, Pump.fun was targeted by Safiya lawsuits. Both accused the platform for violating American stock law by facilitating the release of unregistered symbols, and it is preferable to collect up to $ 500 million of relevant fees.

In December of last year, she was forced to temporarily stop her direct function after Creators began to worrying about pumping their coins. In the wake of this directly, Pump.fun faced the collapse of $ 22 million revenues, as it shows data in the weekly income chain.