Analysis of the Potential Impact of Pumpfun Token Issuance on the Bonk Ecosystem

Recently, many people have begun to compare Pumpfun with BonkFun. As an observer of the Bonk ecosystem, I believe it is necessary to systematically analyze this issue.

According to the information currently available, Pumpfun has raised $1 billion at a valuation of $4 billion, and it is expected that the valuation will reach between $7 billion and $8 billion after the Token launch, with some platforms even providing a valuation of $10 billion.

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

1. BonkFun is expected to continue to maintain its industry-leading position

Despite Pumpfun's growth momentum, BonkFun is likely to continue maintaining its position as an industry leader in the foreseeable future. The reasons are as follows:

• BonkFun values creators and users, closely integrating with the Solana ecosystem.
• The BONK ecosystem has formed a strong cultural barrier.
• Pumpfun's market share has declined before the TGE, making it difficult to regain its former position.
• The growth of BonkFun is completely organic and natural, with no promised token incentives.
• BonkFun's global influence continues to expand, particularly performing well in the Chinese market.

2. PUMP token issuance or becoming a favorable factor for the BONK ecosystem

Although there are views that the PUMP Token will siphon off liquidity from popular tracks, the situation may be different now:

• BonkFun quickly surpassed Pumpfun, curbing the market's irrational enthusiasm for PUMP Token.
• In the context of industry turbulence, investors are more inclined towards long-term value projects.

3. BONK and BonkFun ecosystem become the focus

Compared to the opaque token economics of PUMP, BonkFun's token model is more competitive:

• 50% of the fees on the BonkFun platform are used to buy back and burn BONK Token.
• 58% of the platform's total fees are used in some way to purchase BONK Tokens

Considering BONK's recent market dominance, its $1.8 billion market cap may be severely underestimated.

4. BonkFun's Dominance Benefits Meme Coins and Cutting-Edge Tracks

The development strategy of BonkFun has a positive impact on the entire ecosystem:

• Stake 15% of the handling fee in the form of SOL to reduce SOL selling pressure.
• 58% of the revenue is used to purchase BONK, driving the "Dogecoin Riot" effect.
• Form a self-reinforcing "Bonk Flywheel" effect

Conclusion

The success of BonkFun indicates that the issuance of PUMP tokens will not have a negative impact on the Meme coin market; rather, it may become a catalyst for the development of the BONK and BonkFun ecosystem. Under the current circumstances, betting on the Bonk ecosystem may be the best trading choice before Pumpfun issues tokens.