Pump.fun Co-Founder Alon Cohen Critiques Tech Altcoins
In a recent statement, Pump.fun co-founder Alon Cohen criticized tech-focused altcoins, comparing them to meme coins, and emphasized the need for better investor strategies.
Pump.fun Co-Founder Alon Cohen Critiques Tech Altcoins
In a post on February 3, 2025, Pump.fun co-founder Alon Cohen criticized most tech-focused altcoins, arguing that they offer a similar value proposition to meme coins but with notable downsides.
Cohen pointed out that these altcoins often come with low circulating supply, inflated fully diluted valuations, and notable influence from venture capitalists, who he claims frequently consider retail traders as exit liquidity.
This analysis emerged in response to a social media discussion, suggesting that the platform’s meme coin launch capabilities disrupted the typical altcoin price movement. Cohen rejected this notion, asserting that Pump.fun commenced its operations months before a significant market downturn in April 2024.
Cohen: Retail Investors Were Scarred From Last Cycle
“Retail was burned too hard last cycle to just come back to invest in the ‘future of finance,’” Cohen mentioned. He attributes the decline in altcoin interest to diminishing enthusiasm among everyday investors.
He elaborated that individuals with regular employment often prefer simplicity over complex technological narratives, looking instead for personal satisfaction and opportunities to profit during the investing process.
Cohen’s remarks illustrate a growing divergence among altcoin investors: some prioritize technological advantages while others engage in speculative wealth management, lacking concern for a project’s durability.
Legal Challenges for Pump.fun
Recently, Pump.fun has found itself facing legal challenges. Law firms Burwick Law and Wolf Popper LLP have filed a cease-and-desist letter concerning the unauthorized use of their intellectual property, as well as initiated a class-action lawsuit claiming that Pump.fun facilitated the development of over 200 tokens that breach their trademarks.
They are adamantly pursuing legal measures to protect their intellectual property against these alterations that purportedly include a controversial token named ‘Dog Shit Going NoWhere’ (DOGSHIT2), supposedly created on the platform without consent.
Cohen and the company seem to firmly oppose these allegations, claiming they lack the capacity to remove such unauthorized tokens that may inflict financial damages on investors due to the possibly unlawful pursuits.
