{"id":618580,"date":"2025-01-16T09:50:20","date_gmt":"2025-01-16T09:50:20","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=618580"},"modified":"2025-01-16T09:50:20","modified_gmt":"2025-01-16T09:50:20","slug":"us-law-firm-plans-to-sue-solana-meme-coin-launchpad-pump-fun-for-investor-losses","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/us-law-firm-plans-to-sue-solana-meme-coin-launchpad-pump-fun-for-investor-losses","title":{"rendered":"US Law Firm Plans To Sue Solana Meme Coin Launchpad Pump.fun For Investor Losses"},"content":{"rendered":"

New York-based law firm Burwick said it plans to sue Solana meme coin launchpad Pump.fun on behalf of investors who suffered losses engaging with the platform.<\/span><\/p>\n

It made the announcement in a Jan. 15 X <\/span>post<\/span><\/a>, and said it comes after “months of working alongside everyday people who have lost significant amounts of money to meme coins, rugs, and unfulfilled promises.”<\/span><\/p>\n

\"Pump.fun\"<\/p>\n

Pump.fun Allegedly Pocketed “Hundreds Of Millions”<\/span><\/h2>\n

The law firm said that the Solana meme coin launchpad generated “hundred of millions” through fees while illegal acts such as racism, acts of self-harm, drug use, antisemitism and other antisocial acts took place on the <\/span>platform<\/span><\/a>.<\/span><\/p>\n

Pump.fun’s creator has “chosen to remain anonymous,” according to Burwick. This is even after the platform acknowledged the “importance of transparency in scaling and retail engagement,” the law firm added.<\/span><\/p>\n

Burwick continued by saying that <\/span>Pump.fun<\/span><\/a> has created a crypto ecosystem that “hides” behind crypto buzzwords “to exploit everyday people.”<\/span><\/p>\n

On-Chain Sleuth Says Those Who Lost Money To Meme Coins Are Not Victims<\/span><\/h2>\n

On-chain sleuth ZachXBT replied to Burwick’s X post, and said that anyone who chooses to “gamble” in meme coins with extremely low market capitalizations are not victims or investors.<\/span><\/p>\n

Burwick’s founding partner, Max Burwick, replied in a shared comment, and described meme coin scams as a casino where the dealers are able to manipulate the card game.<\/span><\/p>\n

\n

This is a great point. Scratch-offs are regulated gambling, with clearly defined odds and no method for secondary market manipulation or rug pulls. You present an interesting analogy. But just like in a casino, regulated gambling is defined by rules and non-alterable statistics.…<\/p>\n

— Max Burwick (@burwick_max) January 15, 2025<\/a><\/p><\/blockquote>\n