Pump.fun and Market Microstructure: How Bonding Curves Distort Price Discovery
Pump.fun launched on Solana in January 2024 and immediately disrupted how tokens enter circulation. By removing deployment friction—reducing the cost to approximately 0.01 SOL and eliminating code requirements—the platform has facilitated 11.9 million token launches by mid-2025. That scale alone is significant, but the deeper question concerns price formation itself. A bonding curve model determines […]
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