Pump.fun has changed its reward model in favor of traders - ForkLog: cryptocurrencies, AI, singularity, the future

# Pump.fun has changed its reward model in favor of traders

The platform for launching meme coins Pump.fun has implemented a new reward model, shifting the focus from token creators to traders.

Creator Fees need change. Not every token deserves Creator Fees.

Now, users have the ability to decide whether a token truly deserves Creator Fees, or whether it makes more sense to reward the traders engaging with the token.

Cashback Coins are now live. Learn more 👇 pic.twitter.com/UbYoAbQ1Ya

— Pump.fun (@Pumpfun) February 17, 2026

Now, creators can choose: keep the fee (Creator Fees) or redirect payments to traders through a cashback mechanism (Trader Cashback). The decision is made before the asset’s release and cannot be reversed.

According to developers, not all creators of “fun coins” deserve rewards. Many projects develop successfully without a team or leader, which leads to unfair enrichment of deployers.

Under the original model, creators received 0.3% of all fees generated by the tokens they launched.

In Terminal — the integrated trading platform within Pump.fun — it was clarified that cashback is credited with each trade and is available exclusively to their users.

Drop in fees and criticism

The change in the reward model occurred amid a decrease in fees in January. In the first month of the year, Pump.fun collected $31.8 million in fees — a 75.6% decrease compared to $148.1 million in January 2025.

Source: DefiLlama Since early February, the figure has been around $15 million.

Pump.fun also faced criticism because only a small number of traders are earning on the platform.

Out of 58.7 million wallets interacting with the platform, only 4.76 million earned profits between $1,000 and $10,000. Fewer than 13,700 addresses reached millionaire status.

Source: Dune Some community members supported the innovation. Others expressed concerns that the model would reduce developers’ motivation to launch coins.

Wouldn’t this just decrease incentives for devs and increase incentive for multi-wallet?

So devs have less reasons to push coins longer, as the most lucrative time is when coins are still on pf, and have just graduated where there is the most volume.

Hope we don’t see more… https://t.co/N4SHdZWUgl

— coos (@profcoos) February 18, 2026

“Developers now have fewer reasons to promote meme coins, since the most profitable time is when the coins are still on the platform or just launched. That’s when the highest trading volumes occur,” noted user coos.

Remember, in January Pump.fun established a $3 million fund to finance early-stage crypto startups.