IOSG Founding Partner: The Pump.fun public sale seems more like the team seeking liquidity exit, with the project and market fundamentals unable to support the inflated valuation.

On July 10th, Jocy, the founding partner of IOSG, posted on social media, expressing his belief that this Pump.fun public sale is more akin to using participants as exit liquidity and constitutes a highly speculative gamble. Jocy stated that since its launch in early 2024, Pump.fun has witnessed explosive growth, with a cumulative protocol revenue of approximately $7 billion, becoming one of the most profitable projects in the cryptocurrency field. However, the daily revenue of Pump.fun has dropped by 92% from its peak and currently stands at only about $500,000. The market capitalization of the project has plummeted from tens of millions of dollars in the past to a rock-bottom level of $50,000 to $100,000. Its market share has also been surpassed by a competitor, LetsBonk (with a 51% share), causing Pump.fun to fall to 39.9%. From a tokenomics and risk exposure perspective, this ICO round targeted retail investors (15%) and institutions (18%), selling a total of 33% of the tokens, corresponding to a fundraising amount of $1.32 billion. Considering past fee revenues, the http://Pump.fun team will hold nearly $2 billion in cash. This poses an extremely unfriendly risk exposure to public investors: · Lack of a transparent governance structure: The decision-making process remains a mystery. · The team/investor release terms are opaque. · The overvalued financing has overdrawn the future growth potential. Jocy stated that he believes the Pump.fun team has neither the intention nor the ability to "pump" or "control" the price. They have already accumulated a huge fortune through fees, and this ICO is more like a final "value realization" (Exit Liquidity). In the current market environment with severely insufficient buying pressure, such a high valuation simply cannot be sustained. This is completely different from Hyperliquid's valuation support logic. Jocy believes that this market public fundraising is a highly speculative gamble, not a fundamental investment. The funds invested should be risk capital that can be completely lost. The market's enthusiasm for meme launch platforms and shitcoins has shown signs of fatigue. Investors are advised to wait for the token to trade on the open market for a week before making a decision and observe the true market response.