Pump.fun's Recent Fee Model Distribution Nets Creators $2 Million in Initial 24 Hours

Pump.fun, a platform that started as a simple token creation platform in January 2024, has undergone significant changes. With the addition of livestreaming as a native feature and a renewed fee structure, the platform is now a major contender in the streaming industry.

The revamped fee model has been claimed to increase the earnings of creators tenfold. Over the past 24 hours following the update, $2 million was distributed to creators on the platform, according to Dune data. In the first 12 hours of the new fee model, over $1.3M have been claimed in creator fees.

The new fee model works such that creators earn a percentage of the total fees upon every trade of their token. Creators with tokens between a market cap of $88,000 and $300,000 will earn the largest percentage fee of 0.95%, slowly scaling down to 0.05% at a $20 million market cap.

One of the top streamers on Pump.fun, Rasmr, earned $2,290 via creator fees on Tuesday, a significant increase from $5.12 the day before. The top creator in Pump.fun's Basedd House, known as Goon, has earned $9,400 since creating his token three months ago.

Jytol, another popular streamer on the platform, believes that the new fee model will be a game-changer for Pump.fun. He believes that it will allow smaller creators to earn more than traditional platforms' streamers in a year. Jytol's earnings jumped from $2.33 to $9.30 on the day of the update, with his average viewership increasing from four to 15.

The boost in earnings comes as a result of Pump.fun's new dynamic fee model, a part of a broader series of updates in what the platform brands as Project Ascend. This initiative aims to enhance creator incentives.

Pump.fun gained popularity after several meme coins went viral due to streamed stunts on third-party sites like Kick. Following the removal of livestreaming in November to overhaul moderation systems due to controversial streams involving drug binges, gun firing, and animal abuse, the platform has not seen any major controversies and has become a popular environment for streamers to create content.

Streamers on Pump.fun believe it is a major step towards the platform rivalling established platforms like Twitch. Jytol, for one, believes that with the right marketing and community support, Pump.fun can overtake established platforms. However, he acknowledges that it will take time.

The TROLL token, with a $165.9 million market cap, has produced $223,150 in creator rewards on Pump.fun. Community takeover teams can also claim creator fees if the token deployer has abandoned the project on Pump.fun.

In conclusion, Pump.fun's revamped fee model has significantly increased the earnings of its creators, making it an attractive platform for streamers. With its dynamic fee model and Project Ascend initiative, the platform is poised to challenge established streaming platforms like Twitch.

Pump.fun's Recent Fee Model Distribution Nets Creators $2 Million in Initial 24 Hours