Comparing Pumpfun and BonkFun Ecosystems: Who Will Dominate the Meme Coin Market?

Recently, the issuance of the Pumpfun token (TGE) has attracted widespread attention. As a highly anticipated project, many people have begun to compare it with BonkFun. Since BonkFun has surpassed Pumpfun, it has dominated market discussions. In this regard, I would like to systematically share some insights.

Currently, the information about the PUMP coin shows:

• The project raised 1 billion dollars at a valuation of 4 billion dollars.
• The estimated valuation after TGE is between 7 billion and 8 billion USD, with some predictions even reaching 10 billion USD.

So, what does this mean for the BONK, BonkFun ecosystem, and the entire Meme coin market?

1. BonkFun is likely to maintain its industry leadership.

Although Pumpfun's growth momentum has not yet ended, BonkFun is likely to maintain its leading position in the foreseeable future. The reasons are as follows:

1. BonkFun values creators and users, and is closely integrated with the Solana ecosystem, which is its great advantage.

2. The strong culture formed by the BONK ecosystem is gradually permeating the tokens on BonkFun, and this cultural barrier is difficult to replicate in the short term.

3. Pumpfun, as a tokenless protocol, once had strong momentum, but its market share suffered a severe blow on the eve of the TGE. It will be very difficult to regain its former status after the TGE.

4. A significant portion of activities on Pumpfun may come from advanced users and bots, and these activities may decrease after the TGE.

5. The growth of BonkFun is completely organic and natural, stemming from deep collaboration with the Solana ecosystem, without any token incentives promised.

6. BonkFun has performed outstandingly in terms of global influence, especially gaining strong recognition in the Chinese market.

2. The PUMP token TGE may become a favorable factor for the BONK and BonkFun ecosystems.

Although there was previously a view that the PUMP token would siphon liquidity from Meme coins and the BonkFun ecosystem, the situation may now be different. BonkFun has quickly surpassed Pumpfun, which may suppress the market's irrational enthusiasm for the PUMP token and prevent a large outflow of funds.

3. BONK and the BonkFun ecosystem may become the biggest beneficiaries of the PUMP token issuance.

The PUMP token economics remain opaque, while the BonkFun platform uses 50% of its fees for the repurchase and destruction of BONK tokens, with 58% of the total fees somehow used to purchase BONK tokens. As it stands, PUMP finds it difficult to surpass BonkFun in terms of token economics.

Considering that Pumpfun raised $1 billion at a valuation of $4 billion, BONK's current market cap of $1.8 billion may be severely undervalued. Rational investors might believe that purchasing BONK for $1.8 billion could yield better investment returns than buying PUMP at a higher price.

4. BonkFun's dominance is a positive signal for Meme coins and emerging tracks.

The operating model of BonkFun is conducive to maintaining the stability of SOL prices and the rise of BONK prices.

• 15% platform fee staked in SOL to reduce SOL selling pressure
• 58% of income is used to purchase BONK, driving up the price of BONK.

This model may create a self-reinforcing flywheel effect, driving the prosperity of the entire Meme coin market.

Conclusion

The success of BonkFun indicates that PUMP TGE may become a catalyst for driving the Meme coin market, rather than a liquidity extractor. Funds are flowing into the BONK and BonkFun ecosystem, which may be the most noteworthy investment direction in the current market.