The token behind the Pump.fun platform, PUMP, gained over 16% in 24 hours on July 31, 2025, following renewed activity in the project’s token repurchase program. The coin climbed from $0.00245 to over $0.0029, briefly peaking above $0.0032 before retracing slightly. That’s said, it’s still below its initial coin offering (ICO) price,
The price surge followed the transfer of 12,000 SOL (approximately $2.16 million) into the project’s buyback wallet, as confirmed by on-chain analysts. This marks the latest allocation in a broader program that began on July 16 and has already involved more than $21.5 million in token repurchases.
Buybacks Reduce Supply, Support Price Action
According to blockchain data, Pump.fun has now deployed over 129,000 SOL – collected as platform fees – to repurchase 3.83 billion PUMP tokens from the open market. The tokens have been stored in a designated treasury wallet, effectively removing them from circulation. This reduction in circulating supply appears to have contributed to the upward pressure on price.
Pump.fun had previously moved 187,770 SOL (~$30.5 million) from its fee wallet to fund this repurchase program. While no official commitment has been made regarding how the repurchased tokens will be used long term, some observers speculate they could be subject to delayed vesting or eventual burns.
Recovery Follows Weeks of Selling Pressure
Launched on July 12, PUMP initially traded near $0.0067 before falling sharply in its first two weeks. The token lost more than 60% of its value amid selling pressure from private investors and delays in the promised airdrop. It is currently still trading below its ICO price of $0.004.
The token’s recent recovery follows a series of challenges that include technical issues on launch day, legal scrutiny, and criticism regarding the project’s private sale structure. Two early investors offloaded over $140 million worth of tokens in late July, prompting broader concerns about distribution and long-term price stability.
Read also: PUMP Token Hits New Lows as Airdrop Delayed and Lawsuit Grows
The team’s response included initiating a large-scale token buyback and transferring acquired tokens to a separate treasury address. This move appears to have stabilized short-term price movement and generated renewed interest from speculative traders, but there’s still limited clarity on long-term tokenomics and token utility beyond its role within the Pump.fun memecoin platform.
