How Pump.fun’s video tokenization could impact meme coins

Pump.fun, a meme coin creation platform on Solana, has just launched a new feature that allows users to tokenize videos on their platform.

While this new feature is met with excitement from many users, it also raises some questions.

What could video tokenization mean on Pump.fun?

According to the platform's introductory video, users can quickly create a token linked to a video with just a few simple steps. Once the video is created, it will be displayed in the token trading interface. The platform demonstrated this feature with a clip of the debate between Donald Trump and Kamala Harris.

Users quickly realized that this feature could be used to increase token prices through the use of viral videos. However, Pump.fun has not provided any guidelines regarding copyright issues of the videos used.

Technically, Pump.fun claims that the videos associated with this feature are not stored on-chain. It remains unclear whether this tokenization method is different from NFTs or simply creates meme coins tied to a video.

“An interesting debate actually – is tokenizing the video in NFT form on-chain more of a 'tokenization' than turning it into a meme coin? It’s all unclear, especially in this new AI meta,” commented NFT analyst TylerD.

Read more: How to Buy Solana Meme Coins: A Step-by-Step Guide

Pump.fun has sold $70 million worth of Solana since its launch

According to Dune, users have created over 2.6 million tokens on the platform so far.

In October, Pump.fun's sales skyrocketed, reaching an average of $1.6 million per day. Total sales are now over $143 million. The platform's financial success relies on leveraging the current market fascination with meme coins.

“Almost $200 million in less than a year. Great product/market fit. “Made precisely for fraudsters,” noted investor Sibel.

Investor Kook's on-chain analysis found that Pump.fun has sold $70 million to Solana since its inception.

“pump.fun has sold approximately $70 million worth of SOL since its inception. This dapp is probably the largest extractor of value from an L1 chain in cryptocurrency history… I don't hate it, I love it; To be honest, this is the best deal in the history of cryptocurrency,” commented Kook.

Read more: 7 Hot Meme Coins and Altcoins Trending in 2024

Additionally, Pump.fun recently announced plans to launch its own token. Therefore, the community is eagerly awaiting an airdrop of this initiative.