The co-founder of Pump.fun, Sapijiju, has rejected allegations made by the blockchain analytics firm Lookonchain, which claimed that the project had off-ramped over $436 million worth of USDC. Sapijiju labeled these assertions as “complete misinformation.”

In a post on X, he clarified that no funds from the recent transfers were sold. The USDC had originated from the initial coin offering (ICO) of the PUMP token and was merely redistributed to internal wallets as part of regular treasury management.

“What’s happening is a part of Pump’s treasury management, where USDC from the $PUMP ICO has been transferred into different wallets so the company’s runway can be reinvested into the business,” Sapijiju stated. He also mentioned that, “Pump has never directly worked with Circle.”

Treasury management involves a project strategically handling its funds—like operating capital and reserves—to ensure continued operation. Such transfers do not necessarily indicate that assets are being liquidated; they may relate to wallet restructuring or budget preparations.

Despite the issues raised, data from platforms such as DefiLlama suggested that Pump.fun still possesses over $855 million in stablecoins and $211 million in Solana (SOL).

The report sparked concerns about potential selling pressure, especially since Pump’s monthly revenue dipped below $40 million for the first time, falling to $27.3 million in November.

Community responses to Sapijiju’s remarks have been mixed; while some users expressed skepticism and questioned his explanations, others defended the ability of Pump.fun to manage its treasury as it sees fit. Some also emphasized that the core issue lies in ensuring transparency regarding reserves.

To read further discussions on this matter and community insights, visit CoinGecko for the live token price data.