Analysis of blockchain data reveals a stark contrast: approximately half of all PUMP token holders on Pump.fun have gained profits, while the remaining half have incurred substantial losses.
On September 12th, Bubblemaps, a blockchain analytics company, drawing insights from Dune Analytics figures, reported that out of a pool of over 270,000 digital wallets, around 130,000 demonstrate profitability, while a slightly larger portion remains in the red.
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PUMP Token: On-Chain Data Highlights Divergent Profitability Among Traders
The analytics firm suggests these numbers underscore the significant variations in profitability across different levels of participants within the PUMP token ecosystem.
Bubblemaps highlighted that close to 10,000 traders have accumulated profits exceeding $1,000, resulting in a collective total of roughly $332 million. Furthermore, about 2,000 wallets have surpassed the $10,000 profit mark, achieving a total cumulative profit exceeding $311 million.
At the higher echelons, approximately 400 wallets have generated returns surpassing $100,000, yielding a collective $264 million, while approximately 28 wallets achieved returns exceeding $1 million. Notably, a single, prominent trader has accumulated profits exceeding $10 million.
However, these gains only present a partial perspective.
According to Bubblemaps’ analysis, the most significant losses were experienced by approximately 9,000 wallets, each incurring losses exceeding $1,000, contributing to a total of $332 million in collective losses. Moreover, nearly 1,800 traders experienced losses exceeding $10,000 individually, resulting in a combined loss of $312 million.
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Meanwhile, 343 traders have each lost an average of over $100,000, accumulating to over $265 million. Simultaneously, about 30 traders have each lost over $1 million, with their losses combined totaling $177 million.
This uneven distribution of gains and losses coincides with Pump.fun’s rollout of Project Ascend, a reform initiative initiated in early September.
A key feature of this improvement is “Dynamic Fees,” designed to reduce project costs as market capitalizations increase. This mechanism aims to discourage short-term rug pulls and other manipulative launch strategies.
By linking fees to market performance, Pump.fun anticipates that robust projects will thrive, while lower-quality and potentially fraudulent schemes become less appealing for deployment.
The program has already distributed nearly $20 million to token creators, and played a key role in Pump.fun’s recent market uptrend.
Notably, market sentiment reflects these changes occurring within the platform’s ecosystem.
Data provided by BeInCrypto indicates that PUMP, the platform’s internal token, experienced a gain of over 4% in the last 24 hours, growing from $0.0058 to $0.0064.