SunPump Great Success, Justin Sun Prepares New Plan

Justin Sun, the founder of TRON, has a new plan for the SunPump ecosystem. (Photo; Doc. BlockBuilders)

JAKARTA SunPump.meme, a memecoin generator platform launched in August 2024 yesterday, has attracted the great attention of crypto users. This project allows users to create their own meme tokens with minimal capital.

SunPump.meme, initiated by TRON founder Justin Sun, is one of the outstanding projects among similar projects by offering a more transparent and accessible approach. It's also what sets it apart from other projects like Solana's Pump.Fun.

This success, however, cannot be separated from challenges. One of the main issues faced by the SunPump.meme community is about the buyback mechanism and the burning of tokens obtained from income.

On September 3, Justin Sun said through his official account on platform X (formerly Twitter) that the community initially proposed burning liquidity provider tokens (Liquidity Providers/LP) as an attempt to increase token liquidity. This approach has previously been used by other well-known token memes such as Shiba Inu (SHIB).

However, Justin Sun admits that the concept of burning LP tokens is quite complex and difficult for many community members to understand. "Many community members do not fully understand what LP token burning means, which can cause misunderstandings," Sun wrote in her upload.

After a long discussion, the SunPump.meme community finally agreed to replace the strategy with the 100% on-chain repurchase and token burning process. This process is considered simpler and more transparent, as all record of fund burning can be accessed directly on the blockchain. Justin Sun emphasized that the transparency offered by this on-chain process will make it easier for the community to verify and understand every step taken in managing this project.

The decision was welcomed by the majority of crypto community members on platform X. Ben Todar, Chair of ChainsCard, highlighted the importance of transparency and simplicity in building community trust. However, he also warned that liquidity should not be ignored.

"Adding liquidity through LP tokens not only deepens the market but also attracts large investors or 'whale', which is important for token growth and stability," said Todar.

As evidence of its initial success, a month after the implementation of this new mechanism, SunPump.meme managed to increase its daily trading volume to US$500,000 (Rp8 billion), suggesting that trust and transparency in this project actually had a significant impact on the market.