A US law company, Burwick Law, is preparing to file a lawsuit against Pump.fun, a Solana
$266.71
-based meme coin platform, on behalf of investors who claim financial losses.
The law firm announced the plan in a January 15 post on X, which highlighted months of work with individuals who reported losing large amounts of money through projects hosted on the platform.
The firm alleged that Pump.fun earned “hundreds of millions of dollars in fees” while hosting content that included offensive and harmful material.
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According to Burwick Law, the platform facilitated actions such as racism, antisemitism, and other troubling behaviors.
The announcement also criticized the platform’s anonymous creators for avoiding responsibility for the harm caused by its operations. The law firm stated:
The creator of this platform has chosen to remain anonymous, despite acknowledging the importance of transparency in scaling and retail engagement, which raises serious concerns about accountability.
Pump.fun, launched in January 2024, quickly became a popular tool for creating meme coins without requiring users to have technical expertise. Despite its rapid growth, a post on X by a Dune analyst reveals that only 0.4% of the 14 million wallets interacting with the platform have earned more than $10,000 in profit.
Burwick Law is calling for affected investors to come forward and join a potential class-action lawsuit.
However, the law firm acknowledges that the legal process is uncertain, noting that “no outcomes are guaranteed”, and emphasizes that past results do not predict future success.
Meanwhile, the New York Attorney General recently filed a lawsuit to recover $2.2 million in cryptocurrency linked to a fake remote job scheme. How did the scammers pull off the operations? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
