$600 million Target: Pump.fun's Token Sale Faces EU Ban, Criticism

- Public sale to offer 15% of supply at a $4 billion valuation. - Regulatory exclusions and operational criticism spark controversy. On July 12, 2025, Pump.fun will begin its $600 million public token sale despite facing mounting regulatory scrutiny and criticism over its business practices. The sale runs until July 15 across major cryptocurrency exchanges. The platform will offer 15% of the PUMP token’s total supply—150 billion tokens priced at $0.004 each—giving the Solana-based memecoin launch platform a valuation of $4 billion. Buyers can participate using stablecoins such as USDT and USDC, as well as Solana-native assets. Six major exchanges will host the sale: Bybit, Gate.io, KuCoin, Kraken, Bitget, and MEXC. While Pump.fun has grown rapidly as a hub for launching memecoins, its business practices and the token sale's structure have fueled significant criticism. On July 9, Cointelegraph reported that Bybit will exclude users in the European Union from the token sale to comply with the new Markets in Crypto-Assets Regulation (MiCA). This regulatory development caught many EU-based crypto users off guard and has sparked debates about its impact on the sale. Adding to the uncertainty, a listing page for the PUMP token briefly appeared on Gate.io before being removed, an incident that multiple outlets on July 8 and 9 reported caused confusion and speculation among potential buyers. Pump.fun also faces strong criticism for its broader operations, as reports from June alleged that numerous tokens launched on the platform were tied to fraudulent activities such as “rug pulls” and “pump-and-dump” schemes. Skepticism about the platform's sustainability has grown due to concerns over bot-driven trading and a sharp revenue decline since its early 2025 peak. In addition, a class-action lawsuit accuses Pump.fun of operating as an unregistered securities exchange. Critics argue that the token sale's ambitious $600 million target could create “bad optics,” pointing out that competitors typically rely on larger airdrops to attract user engagement. However, Pump.fun reportedly plans to conduct an airdrop in parallel, which could temper the heavy focus on public fundraising. As of July 9, 15:09 UTC, Solana (SOL) was trading at $154.316, up 2.156% in the last 24 hours, according to CoinMarketCap.