PumpFun’s reported raise at a $4 billion valuation has some members of the crypto community up in arms, but some analysts say it’s not only fair, but cheap.
After reports surfaced that memecoin launchpad PumpFun was planning a token sale at a $4 billion valuation, social media users were quick to criticize the platform. However, analysts at market intelligence firm Messari expect the $PUMP token to trade at a significantly higher valuation.
Sunny Shi, also known as Monk on X, has published a report calling for a valuation of $7 billion or higher, referring to the raise as “an incredible opportunity to own a part of the most profitable crypto application of all time.”
In the report, Shi highlighted the success of PumpSwap and PumpFun’s effect on the Solana ecosystem as a whole. In essence, Shi considers memecoins a more efficient speculation vehicle than previous iterations, such as non-fungible tokens (NFTs). “We think Pump can still put out ~$675M in revenue in two years as PumpFun retains slightly lower share within Solana and PumpSwap continues to grow. With a 10x multiple, that’s around $7B FDV in our base case,” said Shi on X.
In a follow-up post, he went so far as to say that if executed properly, the token could reach $20 billion if they incorporate an airdrop and token buyback system.
He also emphasized that a vague token or equity structure could spell trouble for the token, as market participants are now hesitant to speculate on tokens with poor mechanics.
Nearly $700M in Revenue
PumpFun, which launched in Q1 2024, originally on Ethereum Layer 2 Blast and then expanded to Solana, was undoubtedly the breakout application of 2024. The ecosystem has generated $689 million since its inception, with $350 million of that revenue accrued in 2025 alone.
At its peak in January, PumpFun earned an astounding $134 million in 30 days.
While the memecoin space, and therefore PumpFun’s revenue, have slowed down substantially since the LIBRA memecoin scandal, Pump remains the third most profitable protocol in DeFi over the last year, only trailing stablecoin issuers Circle and Tether.
In March, the platform released its own automated market maker, PumpSwap, rendering Raydium, the decentralized exchange (DEX) that all PumpFun coins originally migrated to, obsolete. PumpSwap has generated $111 million in fees over its three-month lifespan, with $17 million returning to PumpFun.
Half of the revenue earned by PumpSwap is returned to token creators, after the DEX launched revenue sharing in May.
Meanwhile, memes still dominate mindshare on Solana, with more than 32% of the network’s mindshare* focused on top memecoins, like FARTCOIN, or memecoin infrastructure such as DEX aggregator Jupiter.
*Messari Portals are a free-to-use community resource that combines quantitative data with qualitative context, giving crypto communities transparent, convenient access to information that helps them make better decisions. Visit https://messari.io/portals to learn more.
