Dune data reveals possible manipulation on Solana’s Pump.fun launchpad, with trading bots influencing meme coin activity.
Pump.fun was the first to establish the Solana meme coin market. Nevertheless, the market will encounter increasing competition as rival launchpads emerge.
Bot-Driven Volume on Pump.fun Tokens?
Analysts have detailed how “proxies” are inundating Pump.fun token markets with volume-farming bots. High-frequency transactions are feigning momentum to capitalize on the fear of missing out (FOMO) that retail traders experience.
The bots are depicted as proxies that function as standard market participants in on-chain data, which monitors their activity. They implement dozens of small trades on new token launches, often within seconds, creating the illusion of surging interest.
According to the data, these bots account for 60–80% of the trading volume on certain Pump.fun meme coins.
The outcome is a feedback loop reinforcing itself, in which false volume induces genuine FOMO. This generates price pumps, which the bots can leverage to obtain exit liquidity.
In a post on X (Twitter), a DeFi researcher, Naveen, referred to this practice as the “Proxy Paradox.” He noted that the practice artificially distorts market signals and undermines the reliability of volume-based indicators, citing broader implications. Additionally, it has the potential to result in unsustainable price fluctuations.
Nevertheless, the influx of bot-driven transactions stress-tests Solana’s scalability and provides temporary liquidity to some. Concurrently, critics caution that it threatens the ecosystem’s long-term health.
Underneath the Meme Coin Mania: Sustainability Concerns
The meme coin sector is expanding in other regions. Pump.Fun, which was previously the preeminent launchpad in Solana, is currently experiencing a decline in popularity.
According to reports, the platform’s market share is declining due to the increasing competition from new launchpads. Let’s Bonk has gained momentum by providing quicker listings, improved user engagement, and a wider range of developer participation.
This evolution occurs at a critical juncture in the Solana ecosystem, characterized by volatility. Solana’s Q1 2025 report indicates that network revenue increased while transaction fees decreased, suggesting that efficiency improvements were achieved.
Nevertheless, the total value locked (TVL) of DeFi experienced a decline, which prompted apprehensions regarding the sustainability of the meme coin craze. These discoveries serve as a wake-up call for both developers and speculators.
“Not all volume = real demand. Next time you see explosive volume on new meme coins, ask yourself: Is this hype… or Proxy farming?” analyst cautions.
As Solana’s meme coin ecosystem matures, transparency and more intelligent system design will be required. Temporarily, metrics may be enhanced by volume harvesting bots. Nevertheless, long-term resilience necessitates the use of data rather than deception.
Competition among launchpads is intensifying, and Solana’s infrastructure is experiencing strain. Consequently, the competition is on to introduce the next viral token and guarantee the credibility of the underlying system.
