Key Highlights
- Pump.fun Co-Founder Sapijiju denied claims that $436M USDC was moved to exchanges, calling the report “complete misinformation.”
- He said the transfers were part of normal treasury management from the ICO, and no funds were sold in the process.
- Blockchain data showed 436.5M USDC moved to Kraken in mid-October, and 4.19M SOL was sold between May 2024–Aug 2025.
The Co-Founder of Pump.fun, known online as Sapijiju, has rejected reports that the project moved $436 million in stablecoins to crypto exchanges as part of a cash-out.
The claim, originating from blockchain analytics firm Lookonchain, suggested the massive transfers were a move toward asset liquidation. Sapijiju quickly countered, calling the report “complete misinformation” and clarifying that the funds were never sold.
Sapijiju explained that the USDC came from Pump.fun’s Initial Coin Offering (ICO) and was being moved between internal wallets as part of normal treasury management. This process is common among projects and is used to organize funds, plan budgets, and reinvest revenue to ensure the business’s long-term runway. Sapijiju also clarified that Pump.fun has never directly worked with the stablecoin issuer Circle.
Fund movements raises concerns
Despite the denial, the movement of funds has created widespread concern, especially since it coincided with a market downturn and a sharp drop in Pump.fun’s core revenue (down 53% in November).
Blockchain analytics firm Lookonchain reported that Pump.fun transferred 436.5 million USDC to Kraken on October 15. The data shows that some funds were later sent from Kraken to Circle. In a different instance, Pump.fun sold nearly 4.19 million SOL for $757 million between May 2024 and August 2025.
However, Pump.fun still holds large reserves, with over $855 million in stablecoins and $211 million in Solana tokens, according to multiple data platforms. Some analysts saw the moves as routine fund management; others saw the potential for future selling.
Community reactions divided
The community’s response to Pump.fun’s explanation has been varied. Voss criticized the co-founder for making contradictory statements. He denied any involvement with Kraken and Circle but referred to the transfers as part of treasury management.
EthSheepwhale condemned the team, saying that practices like airdrops hurt the token’s price and showed poor management.
Meanwhile, Matty.Sol came to the defense of Pump.fun, stating it’s their project revenue and they’re free to manage the money as they see fit. Analysts such as FOMOmeter added that sensational “cash-out” claims spread faster than the reality of treasury management, underlining a low-trust environment in crypto.
The PUMP token has struggled amid the uncertainty, trading around $0.002738, down 32% from its ICO price and nearly 70% from its September peak of $0.0085.
As per CoinMarketCap, it has a market cap of $969.45 million. The token saw a 6.21% gain in the past 24 hours, though it is down 11.63% over the past week, with a 24-hour trading volume of $163.39 million, reflecting a 17.7% change.
Also Read: XRP Price Surges 9% After Franklin Templeton, Grayscale Launch ETFs
