Pump.fun Shifts Strategy with New Holder Reward System

Pump.fun is changing how its platform handles token incentives. The team officially removed the Cashback Mode option for all new token launches. This feature previously gave users a rebate based on their trading activity during the launch phase.

In its place, the platform is rolling out a new Holder Rewards feature. This update shifts the focus from high frequency trading to long term ownership. Under the new model, specific fees collected from a token are automatically distributed to the wallets of users who hold that token over a set period.

This update signals a pivot toward rewarding loyal community members rather than just traders. By incentivizing users to keep their assets rather than flipping them quickly, the platform hopes to foster more stability for new launches. Traders should keep an eye on how this change affects liquidity and overall sentiment for new tokens moving forward.