A 20% plunge in a single day, the reverse live broadcast of the Pump founder

Author: Cookie

At 4 a.m. today, pump.fun co-founder @a1lon9 conducted a live voice interview on the Twitch channel of crypto KOL @notthreadguy.

Before the live broadcast, some people in the English circle joked that this was the "FOMC" of the currency circle. Judging from the results, this live broadcast did have a profound impact on the currency price. $PUMP fell by nearly 15% during the live broadcast, and the daily drop was close to 20%, once falling below the market value of 3 billion US dollars.

For pump.fun, alon's interview is undoubtedly a PR disaster.

What did alon say in the live broadcast?

About $PUMP airdrop

threadguy: Will there be another $PUMP airdrop? If so, when?

alon:As we promised when we announced the TGE, there will be an airdrop for $PUMP, and we will keep our promise and reward the airdrop to the community that has helped us grow over the past year and a half. We hope that the airdrop can be well executed and can drive the transaction volume of the entire ecosystem and allow the ecosystem to develop in the long term. This is very important to us, and we are now focused on bringing attention and hype back to pump.fun. However, the airdrop will not happen soon (in the immediate future).

There are many rumors about $PUMP airdrops, such as the airdrop standard is like this, and the airdrop activity is like that, but I think there are no more than 5 people on earth who know how the $PUMP airdrop is planned. Therefore, all the rumors you can see are unreliable. We take airdrops very seriously and hope to ensure that the airdrops are worthy of the community.

threadguy: How many shares of $PUMP will be used for airdrops?

alon: I can't disclose it now, but it will be worthy of the community.

threadguy: How to solve the selling pressure after the airdrop?

alon: I can't disclose any specific mechanism now, but we will seriously consider it.

About $PUMP buyback

threadguy: Will you continue to buy back $PUMP from the open market?

alon:I can’t fully reveal the specific plan, but our on-chain actions will answer this question.

threadguy: Can you reveal how much $PUMP you have repurchased in total since TGE?

alon:Initially we repurchased about $20 million worth of $PUMP, and in the past 4 days it was about $550,000. (Threadguy said twice after hearing $550,000 in the past 4 days, “You have a lot of money!”)

About competition from Bonk

threadguy: Why do you think Bonk was able to surpass pump.fun’s trading volume and market share in such a short period of time?

alon:Of course there is a lot of short-term hype and short-term competitive strategies, but we always focus on the long term. What I mean is that in the past few months, the products that everyone uses have not changed substantially, and the market has not grown substantially. If you want this field to continue to grow 10 times or even 100 times, some substantial changes are needed.

While the long term is important, the short term is equally important for long-term development. We will inject a lot of liquidity into our ecosystem and interact with the communities that we work hard to build in our ecosystem to ensure that these communities have the best chance to succeed.

threadguy: How can pump.fun regain its absolute lead in the "launch pad war"?

alon: In the short term, we need to support the active communities in the current ecosystem. It is one active community after another that has brought us to where we are today. But if the timeline is extended, in addition to making the tokens launched by our own platform successful, more major product improvements are needed. I think everyone still remembers the hot market at the end of last year and the beginning of this year. Although cryptocurrencies are cyclical, our current downturn, in addition to cyclical factors, is also necessary for change.

We need a better ecosystem and mechanism that can more effectively coordinate the forces of the community, creators, and traders; we need a better way to integrate outsiders into this field; we need to ensure that memes always have more new and interesting narratives instead of always the same group of people repeatedly hyping things that everyone is tired of. For the first point, we have invested a lot of time and energy to promote it. For the second point, the pump.fun mobile app was born for this. For the third point, we need to continue to invest resources to introduce better creators.

But let me emphasize again: focusing on the short term and letting all resources flow back to pump.fun is indispensable for long-term development.

threadguy: You recently bought 1 pump.fun ecosystem meme coin every day. Will this strategy be effective and feasible in the long run?

alon: This is just a small step in our plan.

About the meme market

threadguy: Do you think the meme market will return to its previous peak?

alon:Of course, if I didn't think the market could grow 10 times or even 100 times, I wouldn't be here. The market still has a lot of potential to grow, it's just a matter of time and specific actions. But I think we need a more sustainable way to attract users. The surge is indeed very attractive, but the plunge after excessive enthusiasm may make the newcomers who have just been attracted leave again, or even leave because they leave a bad impression.

To achieve sustainable growth, a lot of drastic changes need to be made.

threadguy: So what will you do specifically?

alon：First of all, we are not building a single launch pad product, but a large pump.fun ecosystem, so we need a good team. The current team is already very good, but we will continue to recruit talents, even strategic acquisitions like Kolscan announced earlier. We will continue to observe the market and look for opportunities to expand the market, whether in the social field or other fields.

Then I have been talking about major changes before, and one of the major changes will be PumpSwap 2.0. I can't reveal too many details, but the fee structure will be completely different, designed to incentivize teams that can produce more interesting meme coins to join and build for the long term. The CTO incentives we updated a week ago have laid the foundation to incentivize creators to build within the existing meme coin community.

Whether it is creators, anchors, artists or startup founders, we try to attract them to our ecosystem. Not just to attract them to deploy a token and hype it for a few days and then say goodbye, but to be able to incentivize them to build something sustainable. We still need to make a lot of efforts and iterations to achieve such an effect.

Mobile apps are very important. Although our number of users has fluctuated recently, the number of users and activity of the app are setting new highs almost every day, and the way for newcomers to get in touch with and become familiar with this circle can be more perfect.

Live streaming is also a point of great concern to us. How can the market rather than the algorithms controlled by social media companies determine the spread of information? This is also our long-term vision.

Threadguy also asked some other questions, such as how pump.fun can avoid becoming OpenSea in the meme coin track, whether it will sign non-encrypted anchors, etc.

But these questions are not critical, because the final effect of this live broadcast is to ignite the anger of players against pump.fun again, and $PUMP fell by nearly 20%.

Why is this a public relations disaster?

Perhaps in Alon's view, this is not a "PR" for the recent dissatisfaction with pump.fun, but a "propaganda" for a wider audience, so he chose to accept a live interview with threadguy on Twitch. However, the final effect is that even his failure to accept interviews on his own live broadcast platform has become one of the outlets for players' dissatisfaction.

$PUMP rose briefly after TGE and then began to fall, which made the players who originally stood on the side of pump.fun speechless. What's even more outrageous is that Alon himself openly bought 5 pump.fun ecological meme coins with orders, and 4 of his holdings have already suffered losses.

When Alon first bought the Pump.Fun ecosystem meme coin $neet, the token instantly reached a market value of 30 million US dollars, and a 365% 1-minute big positive line appeared. Everyone thought this would be a good start, especially the players standing on the Pump.Fun side always believed that Pump.Fun still had the most interesting meme coin culture, and these narratives would definitely get better. But in the end, Alon did not continue to pull the market, and the emotional buying was quickly exhausted. $neet has returned to the market value level when Alon bought it, and the order-carrying effect of several tokens that Alon bought later has become weaker and weaker.

This makes Alon's statement on the live broadcast that "a large amount of liquidity will be injected into the ecosystem" seem very hard to believe and ironic. This even became a free advertisement for competitor Bonk:

Bonk announced before the live broadcast that it would use 1% of the platform's revenue to support its own top meme coin

$PUMP airdrops will not happen in the near future, which has once again ignited the anger of players. Even gainzy, one of the biggest anchors on pump.fun, "complained" on the live broadcast:

Some people make money, and some people lose money. Like Hyperliquid, giving loyal users a 6-digit or even 7-digit airdrop, they are happy and recover their losses, and will continue to trade on Hyperliquid. Especially when Bitcoin hits a record high, everyone needs more money, even if the airdrop is a little smaller, it is better than dragging it out. If the airdrop is not satisfactory, pump.fun will be under greater pressure and it will be more difficult to end.

Who in the "trench" cares about the anchors and creators? It is the "trench" that makes pump.fun a lot of money. You have to make these people rich. This is not difficult to understand.

In addition, alon's answers throughout the interview are full of answers that cannot be disclosed. When the players' trust in pump.fun almost disappeared, this gave everyone a deeper sense of distrust-is it that it cannot be disclosed, or do you not care at all after taking $1 billion?

Conclusion

If the determination expressed by Alon in the live broadcast can still wait for time to verify, then there is one thing that may really not wait any longer - Pump.fun, which has 1 billion US dollars, really needs a better public relations team.