- Pump.fun’s $4B token sale was delayed again, now rescheduled for mid-July.
- The platform faces a class action lawsuit over alleged price manipulation and securities law violations.
- X suspended Pump.fun’s accounts days before the auction delay, adding more uncertainty to the project’s timeline.
The planned public token sale for the Solana-based memecoin launchpad Pump.fun has been postponed again, with the team now targeting a mid-July launch, according to sources cited by Wu Blockchain. The platform was originally expected to hold the auction on June 25, with the goal of raising $1 billion at a $4 billion valuation.
The delay follows a series of postponements that started last year when the platform first announced plans to issue and auction tokens. Since then, the schedule has shifted multiple times, with no clear explanation for the most recent change. However, the suspension aligns with growing legal scrutiny and platform-related disruptions.
Legal Challenges from Burwick Law
Pump.fun is currently facing legal action across multiple jurisdictions. On January 15, Burwick Law filed a class action lawsuit, accusing the project of violating securities laws and manipulating markets. The firm claimed Pump.fun inflated token prices to benefit insiders, leading to significant investor losses. Max Burwick, the firm’s founder, labeled the platform as “the ultimate evolution of multi-level marketing scams.”
In February, Burwick Law partnered with Wolf Popper LLP to issue a cease and desist letter, targeting Pump.fun over repeated intellectual property violations. Many of the user-created memecoins on the site allegedly use unauthorized logos and brand names.
X Suspension Adds to Controversy
The pressure intensified when X suspended the official accounts of Pump.fun and its founder on June 16. Though the accounts were reinstated days later, neither party offered a reason for the temporary ban.
Several other crypto platforms also faced similar account suspensions during the same period, raising questions about coordinated action or moderation triggers.
Private Sales Reportedly Continue
Despite the delay of the public auction, the Pump.fun team has reportedly begun selling token allocations to various private crypto funds. This indicates that private fundraising rounds are ongoing even as the public sale remains on hold.
Related: Pump.fun Isn’t Dead, It Just Raised Millions
The Pump.fun team has not yet released a formal statement explaining the reason for the latest postponement or addressing the details of the ongoing legal challenges.
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