The memecoin platform Pump.fun has officially launched its investment arm, named "Pump Fund," marking a strategic shift towards capitalizing on opportunities within the burgeoning crypto and decentralized finance (DeFi) sectors. This move aligns with the broader tokenization trend, fueled by increasing regulatory clarity and the growing adoption of stablecoins, which have collectively enabled new market dynamics.
Pump.fun's launch of Pump Fund comes amidst a surge in crypto ETP inflows, with Bitcoin leading the gains as crypto funds attract increasing institutional and retail interest. Data indicates that crypto ETPs experienced a significant inflow of $2.17 billion in the week leading up to January 19, the largest weekly inflow since October 2025. Bitcoin alone accounted for $1.55 billion, or 71%, of the total inflows. Ether, Solana, and other altcoins also saw increased investment, with Ethereum securing $496 million in inflows.
The Solana ecosystem has been a major driver in the memecoin resurgence, with daily trading volumes reaching $2.57 billion in early January. Pump.fun has emerged as the second-largest decentralized exchange (DEX) and launchpad for memecoins on Solana, achieving an all-time high of $2 billion in daily DEX trading volume. The revitalization of established tokens like BONK and WIF further underscores the sector's strength.
As its first initiative, Pump Fund is launching a "Build in Public" (BiP) Hackathon, allocating $3 million in funding across 12 projects. Each selected project will receive $250,000, representing a $10 million valuation. A key feature of this hackathon is its emphasis on a user-market-centric judging mechanism. Unlike traditional programs that rely on judges or venture capitalists, this hackathon empowers the market to determine the success of projects through tokenization. Pump.fun will prioritize organic traction, timely deployment of products, open communication, and long-term viability in choosing winners.
To participate, projects must launch a token and own at least 10% of its supply. The platform welcomes participation from both crypto and non-crypto projects. Registration for the hackathon closes on February 18th, with the first batch of winners to be announced within 30 days.
Analysts are closely monitoring regulatory developments, such as the GENIUS Act and the SEC DTC pilot program, as well as the increasing adoption of tokenized assets. Bernstein has projected that the stablecoin supply could reach $420 billion by 2026. The launch of Pump Fund and the Build in Public Hackathon represent a significant step for Pump.fun as it seeks to foster innovation and growth within the memecoin and broader crypto ecosystem.
