Alon Cohen, co-founder of Pump.fun, has denied reports that Solana’s memecoin launchpad was preparing its own token. He also refuted claims by cryptocurrency journalist Colin Wu.
Wu reported that Pump.fun was working on a token and planned to distribute it via a Dutch auction system in collaboration with multiple centralized exchanges.
In his post, he cited sources within these exchanges who claimed that his team was in possession of documents detailing token issuance. Cohen, however, dismissed these claims on social media, saying:
“Seeing rumors about a potential Pump.fun token – these are wrong.”
The CEO said that while the company is focused on its users and improving their platform, it has no plans to issue tokens.
Despite Cohen’s denial, Wu stood by his reporting, stating:
“It is almost a public fact that Pump.fun plans to issue a token using the Dutch auction inside the CEXs.”
He asserted that his team had obtained official preparation documents and that multiple exchange officials confirmed Pump.fun’s token launch plans, though the timing remained undetermined.
Legal issues
Pump.fun is under increased scrutiny in the legal arena.
In a class action lawsuit filed in New York’s Southern District, it is alleged that the platform facilitates the sale of securities which are not registered and generates nearly $500,000,000 in fees. The lawsuit claims that the platform’s operations violate US securities laws and seeks damages on behalf of affected investors.
Burwick Law and Wolf Popper LLP sent a letter of cease-and desist to Pump.Fun demanding that more than 200 tokens be removed for allegedly misusing their intellectual property.
They claim that the tokens created by Pump.fun impersonating employees and clients of their firm are an attempt at interference in ongoing litigation.
Cohen hasn’t directly addressed the disputes, but has stated that Pump.fun works within legal limits. Industry observers are divided over whether or not the token launch is the next logical step in the development of the platform, or if it’s just speculation.
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