Pump.fun lawsuit founder's private messages revealed, admits "most users lost money"
According to ChainCatcher, the law firm Burwick Law, representing retail investors, has filed an amended lawsuit against Pump.fun, Solana Labs, and related executives. Previously, the judge allowed the plaintiffs to submit a second amended complaint, adding 5,000 private messages as new evidence, accusing them of orchestrating a “pump and dump” scheme.
The lawsuit reveals that Pump.fun co-founder Alon Cohen admitted in private messages that most investors on the platform suffered losses, and candidly stated, “We make it easy for ordinary people to trade small tokens with a market cap under $50,000, but this also exposes everyone to extremely low odds of winning, just like gambling.” The lawsuit also claims that some crypto KOLs were paid to promote meme coins without disclosing their interests and were informed in advance about the tokens to purchase.
However, the article points out that much of the evidence in the lawsuit is hearsay, lacking direct proof of Pump.fun executives profiting, and expresses reservations about the accusation of a “criminal organization.”
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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