Key facts
- Pump.fun allegedly fired employees two months before they were due to receive millions in PUMP tokens.
- The layoffs occurred in April, with token distribution agreements signed in 2025.
Solana-based memecoin launchpad Pump.fun allegedly terminated employees just two months before they were set to receive millions of dollars worth of the company's PUMP tokens, according to a report. Co-founder Noah Tweedale cited rapid growth as the reason for the layoffs.
The report raises questions about Pump.fun's financial stability and treatment of employees, potentially impacting investor confidence in the memecoin launchpad and its associated token.
Solana-based memecoin launchpad Pump.fun reportedly laid off employees in April, just two months before they were scheduled to receive millions of dollars worth of the company's PUMP tokens. According to a report by Sandmark, at least one Pump.fun worker was expecting tokens valued in the seven-figure range. Pump.fun co-founder Noah Tweedale attributed the dismissals to the company's rapid growth. The employees' token agreements, signed in 2025, stipulated that a quarter of their allocated PUMP tokens would be unlocked in June 2026. Pump.fun has previously been involved in legal disputes, including allegations of operating a 'rigged' system for investors and concerning its maximal extractable value (MEV) practices. At the time of reporting, the PUMP token was trading at $0.002113, up 7.5% in the preceding 24 hours.