A class action lawsuit in the U.S. is thrusting Pump.fun into the center of controversy as over 5,000 internal messages are released, showing signs of coordination among insiders in launching tokens, timing trades, and arranging block order.
The U.S. federal judge has approved the introduction of this new evidence into the case against Pump.fun, Jito Labs, Solana Labs, Solana Foundation, and several related individuals.
What Pump.fun promotes – and what is suspected
In terms of design, Pump.fun always emphasizes:
• No presale
• No whitelist
• No private round
• Coin creators must buy publicly like everyone else
In theory, this is true.
But the issue, according to the lawsuit, is not about 'buying early or not', but rather who gets to process transactions first in the block.
MEV – invisible advantage
Accusations claim that insiders were not allowed to distribute tokens beforehand, but could:
• Using bots and MEV infrastructure
• Pay high fees for priority trading
• Coordinate with validators
The result is:
• Insider orders always enter at the beginning of the block
• Retail, even when clicking to buy at the same time, is still queued behind
• The interface looks 'fair', but the actual processing order has been manipulated
Accusation scenario
1. Token just launched
2. Insider buys right at the first block at a very low price
3. Bonding curve drives prices up quickly due to thin liquidity
4. Retail FOMO buying at high prices
5. Insider dumping after a few blocks
6. Price crashes
7. Retail stuck in line
The entire process can occur in just a few seconds.
Damages and consequences
The lawsuit estimates:
• Pump.fun collects hundreds of millions of USD in fees
• Retail investors suffer losses of 4.4 – 5.5 billion USD
The court confirms that the new evidence is valid and relevant, causing the case to escalate and raising major questions about the 'fairness' of memecoin launch platforms in the Solana ecosystem.
