Pump.fun launches its own DEX called PumpSwap, ends Raydium integration

Solana-based memecoin platform Pump.fun has launched its own decentralized exchange, PumpSwap, cutting ties with leading DEX Raydium and escalating competition in the Solana ecosystem.

Pump.fun co-founder Alon Cohen reposted this news on X.

From March 20 2025 onward, all memecoins that complete their liquidity bonding on Pump.fun will automatically migrate to PumpSwap.

This move eliminates the previous requirement to shift tokens to Raydium, along with the associated 6 SOL migration fee.

Pump.fun said the new exchange works similarly to Raydium v4 and Uniswap v2, aiming to simplify token trading and reduce friction.

“Migrations were slowing down coins and making things harder for users,” the team said in an X post. “Now, migrations happen instantly and for free.”

The launch of PumpSwap comes just days after Raydium announced its own upcoming memecoin platform, LaunchLab, signaling a clear rivalry.

Pump.fun and Raydium were once partners, but their growing competition could reshape Solana’s decentralized finance (DeFi) space, especially with memecoin trading volumes falling sharply since January.

PumpSwap also plans to roll out revenue sharing for coin creators, a model popularized by GoFundMeme.

A portion of protocol fees—set at 0.25% per transaction—will eventually go back to the creators behind each coin, potentially incentivizing better-quality projects.

Despite Pump.fun’s aggressive move, the platform has seen a major drop in activity.

Successful token launches have dropped about 80% since January, and daily revenue has fallen from over $4 million to around $1 million, according to DeFiLlama data. Trading volumes also slumped 94% in early 2025, contributing to a slowdown in token migrations.

Still, memecoins were a key driver of Solana's growth in 2024, helping push the network’s total value locked (TVL) from $1.4 billion to over $9 billion.

Raydium benefited heavily during that period, with daily volumes surging past $2 billion. The DEX now holds around $1.18 billion in TVL.

With new players like Daos.fun, GoFundMeme, and Pumpkin entering the race, Solana's memecoin space is rapidly evolving.

Pump.fun’s latest move positions it not just as a launchpad, but a full-stack ecosystem, ready to compete on every level.