Pump.fun Drops Cashback for New Launches, Adds Holder Rewards

Pump.fun has ended Cashback Mode as a launch option and replaced it with a Holder Rewards program that automatically distributes trading-fee revenue to token holders. Under the new creation flow, the platform removed the trading-linked rebate and instead routes fees for Holder Rewards tokens to a Pump.fun distribution wallet for periodic disbursement.

Distributions are sent pro rata several times an hour. To receive payouts, a wallet must hold more than $20 worth of the eligible token; larger balances receive correspondingly larger shares. Unlike the former Cashback arrangement, which required users to claim rewards through Pump.fun, its app or the Terminal, Holder Rewards payments arrive automatically in the token’s quote asset.

Pump.fun said its overall protocol fees are unchanged by the switch. For SOL and USDC pairs, Holder Rewards fees follow the platform’s existing tiered schedule that decreases as a token’s market capitalization grows. For Custom Pairs, creators must pick a fixed Holder Rewards fee between 0.01% and 3%; that selection is final and cannot be altered once set.

Existing Cashback and Creator Fee tokens do not convert automatically. Token teams and communities seeking to switch must apply via Pump.fun’s fee-redirection form; Custom Pair applicants need to specify the new flat fee. Pump.fun will evaluate requests and accept or reject them based on information it deems relevant for the token and its community. The company promoted the change with the phrase “longer hold times, higher ceilings,” while its distribution announcement notes rewards are pro rata and scaled to balance size but does not detail how holding time affects rewards or ceilings.