- US law firm Burwick announces legal action against pump.fun on behalf of memecoin investors who lost funds through the platform, which allegedly enabled various forms of harmful content while collecting substantial fees.
- Despite the platform’s controversial status and the fact that only 0.4% of its 14 million wallets have made significant profits, pump.fun’s founders have generated hundreds of millions in earnings.
- The platform faces increasing regulatory pressure with the UK’s Financial Conduct Authority banning access for its residents in December 2024.
US-based legal firm Burwick is planning to take legal action against Solana-based meme coin platform pump.fun, it announced on platform X, earlier today:
Today, Burwick Law is announcing publicly that we are pursuing legal action on behalf of investors in pumpdotfun memecoins.
Burwick LawAfter lengthy deliberations and consultations with individuals who suffered significant losses in rug pulls and memecoins, the company now offers a way to potentially recover at least some of the funds.
Related: Bitwise’s Matt Hougan: Companies Fuelling Overlooked Megatrend Set to Sway Market in 2025
Anyone affected can fill out a form and get in touch with the New York state-based law firm, which works on a contingency basis, which means if they take on a case, they only get paid if they win and their clients do not owe them any money if the case is lost.
Crypto Sleuth Shows Little Sympathy
Burwick criticised pump.fun for soliciting scams and “exploit everyday people”, and “hide between crypto buzzwords”.
In the past few months, pumpdotfun has collected hundreds of millions of dollars in fees while illicit drug use, self-harm, racism, antisemitism, lewd acts, bestiality, violent and other antisocial acts were displayed on the platform.
Burwick LawCrypto sleuth ZachXBT however, seems to see things a little differently and doesn’t really have much sympathy for people gambling away their money on platforms like pump.fun and on memecoins.
Pump.fun Profits Soar to Millions in USD
At least for the founder (or founders) of pump.fun things are going well, financially speaking, despite only 0.4% of the 14 million wallets on the platform having made profits of more than US$10k.
According to Lookonchain, earnings for pump.fun are in the hundreds of millions:
Related: Pumpkin ‘Rugs’ Its Own Launch After Legal Threats to Solana Meme Coin Platform Pump.fun
Additionally, the UK’s Financial Conduct Authority banned residents from accessing Pump.fun in December to combat scam activities.
Separately, legal action is being pursued by Burwick on behalf of investors who faced losses from the Moonbirds and Proof Collective NFTs, and the Full Send Metacard NFTs, which allegedly offered “unrealistic benefits” linked to the Nelk Boys.
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