RAY jumps 11% after it unveils its own version of pump.fun, called LaunchLab

Raydium is launching its own version of pump.fun, called LaunchLab.

This comes shortly after news that pump.fun is building its own automated market maker (AMM), cutting ties with Raydium.

LaunchLab is a token launchpad that works similarly to pump.fun.

It will offer different pricing models (linear, exponential, and logarithmic bonding curves) to match token demand. It also allows third-party platforms to set their own fees.

Currently, pump.fun tokens that reach a $69,000 market cap get some liquidity added to a Raydium trading pool before being burned.

Over the last 30 days, 41% of Raydium’s swap fee revenue came from pump.fun tokens.

But since pump.fun plans to move its tokens to its own AMM, investors fear Raydium’s revenue could take a hit. This led to a 25% drop in Raydium’s token price in February.

Despite this, Raydium still has $168 million in assets. This financial strength allowed it to quickly develop LaunchLab in response to pump.fun’s AMM plans.

A core contributor from Raydium, known as Infra, said that Raydium started working on LaunchLab months ago but held back to avoid competition with partners.

However, after pump.fun announced its own AMM, Raydium decided to move forward.

Raydium believes pump.fun succeeded partly because it used Raydium’s infrastructure.

Still, Infra says LaunchLab is not meant to replace pump.fun. Instead, it provides an alternative for developers who don’t want to build their own platforms from scratch or who prefer Raydium’s AMM system.

What Else Does LaunchLab Offer?

• More pricing options (bonding curves).
• Flexible fees for third-party platforms.
• Support for multiple tokens beyond just SOL.
• Integration with Raydium’s liquidity provider locker, which lets token issuers secure swap fees permanently.

LaunchLab is just the first step in a larger set of tools for token creation that Raydium plans to launch.