Should You Still Buy Bitcoin in 2025? Here’s What Experts Think

• Bitcoin’s role in the financial system has evolved, but its value proposition remains powerful.  
• In 2025, it continues to offer upside potential, especially for those seeking long-term exposure to decentralised, deflationary assets.  
• While risks remain, expert consensus suggests that buying Bitcoin now can still be a smart move for forward-looking investors.

In 2025, Bitcoin finds itself at a critical juncture. No longer the upstart rebel in the financial world, it now sits as a respected, institutional-grade asset that continues to challenge the boundaries of traditional investment frameworks. With prices recovering from past volatility and trading in the five-figure range—hovering near the much-anticipated $150,000 mark—investors are once again asking the question: is it still worth buying Bitcoin in 2025?

The short answer? It depends on your financial goals, risk tolerance, and understanding of where Bitcoin fits in the broader macroeconomic picture. To help answer that, we’ve looked at market data, economic trends, and insights from leading analysts across the crypto and finance sectors.

The Institutionalization of Bitcoin

Over the past five years, Bitcoin has graduated from speculative asset to institutional darling. Major investment banks, hedge funds, and sovereign wealth funds now include Bitcoin in their portfolios. Spot Bitcoin ETFs in the US and Europe have significantly lowered the barrier to entry for traditional investors.

As of Q2 2025, several asset managers have reported Bitcoin allocations ranging between 2 and 2–5% of their diversified portfolios. The narrative of Bitcoin as digital gold has gained traction, especially during periods of economic uncertainty and central bank easing. Bitcoin’s fixed supply and decentralised architecture make it an attractive hedge against currency debasement and inflation.

Price Action and Volatility: Is It Too Late?

The most common question among retail investors in 2025 is whether they’ve already missed the boat. With Bitcoin trading near $130,000 and having already doubled from its 2023 lows, new investors may worry that much of the upside is gone.

However, market analysts argue that Bitcoin operates in long-term cycles. Historical data shows that after each halving event, Bitcoin typically enters an accumulation phase followed by exponential growth. The 2024 halving was no exception, and 2025 is shaping up to be a continuation of this bullish cycle.

Expert forecasts vary. Some conservative estimates project Bitcoin topping out near $180,000 by the end of 2025, while more aggressive models suggest levels above $250,000 by 2026. Regardless of the exact number, most analysts agree that the current phase still offers growth potential—albeit with lower volatility-adjusted returns compared to earlier years.

Macro Factors Supporting Bitcoin’s Case

Beyond crypto-specific events, Bitcoin’s current appeal is deeply tied to global macroeconomic conditions. With persistent inflationary pressures, geopolitical instability, and renewed interest in sound money principles, Bitcoin stands out as an asset class that offers both liquidity and long-term value.

Central banks around the world have introduced digital currencies, but none rival Bitcoin’s permissionless nature. Meanwhile, capital controls in emerging markets are driving retail demand for decentralised alternatives. From Argentina to Turkey, Bitcoin is being used as both a store of value and a financial lifeline; still, security remains paramount.

Using cold wallets for long-term storage, understanding custody risks, and avoiding hype-driven leverage are essential. The market is still susceptible to manipulation and black swan events.

For example, a Tangem Wallet can be a practical solution for investors who prioritise safety and flexibility – it’s a secure hardware wallet that supports over 85 networks, 16,000+ tokens, and even NFTs, making it ideal for storing both Bitcoin and other digital assets confidently.

On-Chain Fundamentals Remain Strong

On-chain metrics paint a bullish picture for Bitcoin. Active wallet addresses, transaction volume, and long-term holder supply all point toward organic growth and reduced speculative churn. The number of coins held for over 12 months has reached an all-time high in 2025, indicating that seasoned investors continue to hold despite short-term price movements.

Hash rate also continues to climb, reflecting growing miner confidence and network security. Institutional-grade custody solutions and insured storage options are removing friction for large-scale capital inflows.

New Use Cases and Emerging Demand

2025 is also witnessing the maturation of Bitcoin’s use cases beyond simple storage. Lightning Network adoption has grown significantly, particularly in regions where traditional banking services remain inadequate. Micropayments, remittances, and emerging-market e-commerce are all benefiting from Bitcoin’s global, permissionless nature.

Additionally, layer-2 innovations and cross-chain bridges are beginning to integrate Bitcoin more effectively into DeFi and broader Web3 ecosystems. This expanding utility is creating new demand drivers and reshaping how Bitcoin is used in both consumer and institutional settings.

Expert Opinions: Diverse But Optimistic

Industry experts remain cautiously optimistic. Cathie Wood’s Ark Invest maintains a bullish long-term forecast, projecting Bitcoin’s price could exceed $500,000 by 2030 under favourable economic conditions. Fidelity Digital Assets views Bitcoin as a unique asymmetric hedge in a portfolio and continues to advocate for small allocations.

JP Morgan’s recent research suggests Bitcoin’s volatility-adjusted returns are improving, making it more attractive even to conservative institutional players. On the other hand, sceptics caution that regulatory clarity remains a work in progress, especially in the U.S. and parts of Asia.

Nevertheless, the growing alignment of regulators with crypto-friendly frameworks—especially in Europe, Hong Kong, and Latin America—has paved the way for more predictable growth.

How to Approach Bitcoin Investment in 2025

For new investors, the strategy in 2025 should focus on consistency and a long-term perspective. Dollar-cost averaging (DCA) remains one of the most effective approaches to manage volatility and emotional decision-making. Financial advisors are increasingly recommending Bitcoin exposure of 1–5% in diversified portfolios.

Security remains paramount. Using cold wallets for long-term storage, understanding custody risks, and avoiding hype-driven leverage are essential. The market is still susceptible to manipulation and black swan events.

Is Now the Right Time?

Timing any market is difficult, and Bitcoin is no exception. However, the broader trajectory in 2025 still points upward. With the global financial system facing significant transformations, Bitcoin has established itself as more than just an experiment—it’s a new monetary primitive with global reach.

Whether you’re a seasoned holder or a first-time buyer, Bitcoin in 2025 still presents compelling reasons to invest. It may not offer the 100x gains of the past, but it does offer a rare mix of scarcity, liquidity, and independence that few assets can match.

 

India’s Crypto Discussion Paper Promises Long‑Awaited Clarity

• India’s forthcoming crypto discussion paper marks a major shift: moving from taxation-only policy to meaningful regulatory frameworks.

• This consultative document is expected to define classification, tax, and licensing approaches across the crypto asset space.

• For industry participants and investors, it offers both the promise of legitimacy and a path toward active engagement in shaping the rules.

After years of uncertainty, India is poised to release a discussion paper on cryptocurrency regulation. This anticipated move signals a turning point for a country with one of the world’s fastest-growing crypto communities, laying the groundwork for what may become a formal regulatory framework.

A Decisive Step Toward Structured Policy

For much of the past several years, India has operated under heavy taxation rules—30 percent on gains, 1 percent transaction tax—without granting cryptocurrencies clear legal status. Regulatory ambiguity has pushed much trading offshore, raised compliance concerns, and left even the country’s Supreme Court likening crypto transactions to informal “hawala” operations. The pending discussion paper, expected in June, will draw from international guidelines, including those published by the IMF and the Financial Stability Board. It is intended as a consultative document, inviting public feedback and helping shape eventual legislation.

Why This Matters: Stakes Are High

India ranks among the world’s largest and most active crypto markets, with an estimated 20 million users and a growing developer ecosystem. Domestic trading volumes have plummeted since 2022, but with global interest in crypto assets surging, the country stands at a crossroads. A clear policy framework could reinvigorate homegrown platforms and draw investment from global players freshly re-entering the market following recent regulatory openings.

Lessons from the Supreme Court

In recent rulings, the Supreme Court criticized regulatory inertia and compared crypto transactions to informal financial channels—highlighting the urgent need for legal clarity. Officials have emphasized the importance of avoiding snap bans and instead creating geographically agnostic regulations that permit transparency and traceability .

What the Paper Will Likely Cover

The forthcoming paper is expected to explore multiple policy avenues:

• Options for classifying virtual digital assets: legal currency, commodity, or securities.

• Taxation mechanisms, including possible reduction of the current 1 percent transaction levy.

• Licensing frameworks for exchanges and custodians.

• Anti-money laundering (AML) and counter-terror financing (CFT) compliance models.

It may even reflect global best practices drawn from evolving frameworks in the U.S., EU, and Asia, signifying India’s aim to modernize without rushing.

Industry and Exchange Reaction

Domestic crypto firms and advocacy groups have welcomed the consultation push, but with nuance. Many are hopeful for tax relief and broader recognition of crypto’s legitimacy—while simultaneously urging a realistic timeline. Industry representatives are now engaging more frequently with government officials on policy design, reflecting a willingness to shape rules rather than be subject to them.

What Could Derail Progress

Despite positive momentum, several unknowns remain. The Reserve Bank of India has long cautioned that unregulated crypto trading could destabilize monetary systems. Whether the paper will balance innovation with those concerns remains to be seen. There are also questions about whether punitive taxes will be softened or retained, and what enforcement measures will be put in place.

Coming Months: What to Look For

Once launched, the discussion paper is expected to undergo a public comment period. Key areas to watch include:

• How the government addresses the contrast between clarity and caution

• Whether industry feedback is incorporated—particularly on taxation and licenses

• If the paper signals a phased regulatory rollout, or ushers in immediate changes

The timeline remains tentative, but many expect policy movement before the year’s end.

The Broader Significance

India’s move reflects a global shift from fragmented crypto bans to structured regulatory thinking. By choosing consultation over prohibition, the nation could become a leading example of balancing innovation, financial stability, and investor protection

 

SEC’s DeFi Roundtable Could Shape the Future of Crypto Regulation!

• The SEC’s roundtable on DeFi highlights growing interest in regulating decentralized finance, especially smart contracts and governance.

• Projects need to review their whitepapers and governance setups to stay compliant.

• Clear, honest communication through whitepapers can help avoid legal trouble and gain trust in this changing landscape.

June 9, 2025, marked a big day for the crypto industry. The U.S. Securities and Exchange Commission (SEC) held a high-profile event in Washington, D.C. called “DeFi and the American Spirit.” This roundtable focused on decentralized finance (DeFi), smart contracts, token governance, and how these new technologies fit into existing financial laws.

It was the fifth roundtable of its kind, but the first to put DeFi front and center. That alone shows the SEC is beginning to take decentralized finance more seriously—and it might be laying the foundation for future regulation.

 

Why This Event Matters So Much

DeFi isn’t just another crypto trend—it’s a complete overhaul of how finance works. It removes middlemen like banks and replaces them with code, also known as smart contracts, running on blockchains. This technology has been growing fast, but it’s also raised big legal questions.

By holding a full-day event just for DeFi, the SEC signaled a shift. Instead of only cracking down on projects after the fact, it now seems open to open dialogue. That’s a major change—and one that could help founders, developers, and investors understand how to build legally sound DeFi projects from the start.

Smart Contracts in the Spotlight

Smart contracts are the engines that power DeFi. These are bits of code that automatically handle things like lending, staking, and trading without human input. The question regulators are now asking is: Are smart contracts simply tools—or are they investments, and therefore subject to securities laws?

Some speakers at the event argued that smart contracts in decentralized protocols shouldn’t be treated like traditional financial products. But the SEC made its position clear: Automation doesn’t eliminate responsibility. If something goes wrong, someone is still accountable.

Who’s Really in Control?

DeFi is supposed to be decentralized, but that’s not always the case. Many projects are run by small groups of insiders who control token decisions and upgrades. The SEC pointed out that understanding how decisions are made—and who has custody of the tokens—is crucial.

This becomes even more complicated for global projects. Regulators want clarity: Who manages the treasury? How are user funds handled? What happens during disputes? If your whitepaper doesn’t explain these things, your project could face serious questions.

Real-World Assets Are Entering DeFi

The discussion also touched on a growing trend: the tokenization of real-world assets like real estate, art, or stocks. This makes it easier to trade these assets, but also raises regulatory red flags.

If your DeFi platform lets users trade tokenized property, you need to clearly define what ownership means. Does the token give you legal rights? Who enforces them? These are the kinds of details that need to be spelled out in whitepapers and platform terms.

Who Was There?

The event brought together a mix of SEC Commissioners, including Hester Peirce (often called “Crypto Mom” for her pro-innovation stance), Caroline Crenshaw, and Mark Uyeda. Former Commissioner Troy Paredes moderated panels that included developers, legal experts, researchers, and advocates from organizations like Espresso Systems, Jito Labs, and Coin Center.

Importantly, the public could send in questions during the livestream—another sign that the SEC is trying to engage, not just enforce.

What This Means for the Industry

This roundtable follows earlier SEC discussions on crypto custody, stablecoins, and token listings. The focus now seems to be on breaking down the crypto world one topic at a time. And one message was repeated: Whitepapers are now more than technical documents—they’re legal signals.

A clear, detailed crypto whitepaper can help explain how your platform works, how tokens are used, and whether your project is truly decentralized. Think of it as your first line of defense against regulatory scrutiny.

What Should Crypto Projects Do Now?

If you’re a founder or builder, now’s the time to:

• Review your whitepaper to make sure it’s up to date.

• Be transparent about governance, token control, and user protections.

• Work with legal advisors to align your project with evolving regulations.

Projects like Cardano, Chainlink, or even meme coins like Shiba Inu must explain who controls upgrades, how the treasury is managed, and whether there’s a risk of token concentration. These questions are no longer optional—they’re necessary.

The Bigger Picture

Hester Peirce made an important point at the roundtable: innovation should be supported, not stifled. But protecting users matters too. That means crypto whitepapers need to be treated as living documents, constantly updated to reflect how a project operates, how decisions are made, and how users are protected.

In today’s environment, regulation isn’t the enemy—it’s a roadmap. Projects that plan ahead and stay compliant are more likely to succeed in the long run.

Closing Thoughts

The SEC’s DeFi roundtable shows that crypto isn’t just being tolerated—it’s being taken seriously. Regulators want to understand how this new financial system works. That creates an opportunity for crypto founders to build trust, show transparency, and lead the way toward smarter regulation.

 

Tariffs and Crypto: A Match Made in Hell (or Maybe Heaven, Depending Who You Ask)

Crypto and tariffs aren’t exactly a headline couple. One’s a cypherpunk fever dream about money without borders. The other is a blunt instrument of old-school economic nationalism. But weirdly enough, they’re starting to orbit each other in a way that could get… interesting.

Especially now that the U.S. and China are back to lobbing tariffs like it’s 2018 all over again. Biden’s latest volley just dropped: 100% tariffs on Chinese EVs, plus hikes on semiconductors, solar cells, and critical minerals. It’s economic warfare with a polite tie on. But underneath it, there’s a bigger tension — what happens when global trade becomes balkanized and money itself starts to go borderless?

That’s where crypto slips in through the side door.

Sanctions, Tariffs, and the Search for the Backdoor

Tariffs are just one tool in a broader trend: governments are using financial infrastructure as a weapon again. Sanctions. Capital controls. Trade restrictions. Swift bans. The modern economy’s version of siege warfare.

And when that happens, people (and companies, and governments) start looking for loopholes. Stablecoins. BTC. Privacy chains. Anything that lets them settle trade or move money without going through the Fed or the ECB or some Hong Kong clearing house that suddenly has new “rules.”

We’ve seen this in microdoses already:

• Russians swapping rubles for Tether after sanctions kicked in.

• Chinese firms using USDT on Tron to quietly grease the wheels of cross-border trade.

• Latin American importers using crypto to avoid FX limits.

• North Korea funding missile programs via crypto thefts and laundering through DEXs.

So yeah — when tariffs go up, crypto doesn’t get less relevant. It gets more.

China’s Playbook (and Its Holes)

China’s response to tariffs has never just been tit-for-tat. It’s also about hedging long-term dependence. And part of that is moving away from dollar-dominance. They’ve been pushing hard on the digital yuan, cutting dollar exposure in reserves, and building payment rails with countries like Russia, Iran, and Brazil.

But the digital yuan is still a domestic tool, and the dollar’s grip on trade is hard to shake. Which makes stablecoins — yes, even dollar-backed ones — a weirdly useful bridge. They’re liquid, censorship-resistant enough, and way faster than the legacy wire system. Don’t be surprised if more Chinese trade routes quietly settle in crypto, even if Beijing won’t officially bless it.

Made in America (Onchain)

Ironically, U.S. policy may be driving demand for the very thing it’s trying to contain. Tariffs push companies to reroute supply chains. Rerouting is messy, expensive, and geopolitically risky. Enter crypto rails: lower-cost, more liquid, and not (yet) tightly controlled.

If you’re a small importer in Indonesia, and you’re suddenly paying 25% more for solar panels because of a U.S.-China spat, maybe you don’t want to deal with JPMorgan for your next trade deal. Maybe you want to pay your Taiwanese supplier in USDC over a Layer 2.

Crypto isn’t replacing SWIFT anytime soon, but it’s chipping away at the edges. Tariffs just speed that up.

What’s the Risk?

The same stuff that makes crypto attractive for trade and tariff-dodging also makes it… well, regulatory napalm. Treasury doesn’t love the idea of stablecoins being used to blunt U.S. policy tools. That’s why we keep seeing pressure on Binance, on offshore USD flows, on self-custody wallets. It’s not just about “protecting consumers.” It’s about controlling the dollar’s reach.

So if crypto becomes a go-to tool for tariff arbitrage, expect the hammer to come down harder — especially on bridges, stablecoins, and exchanges that touch noncompliant jurisdictions.

The Takeaway

Crypto and tariffs don’t want to be a power couple. But in a world where governments use trade as a weapon and capital wants to move freely, they might not have a choice. Call it marriage by necessity. Or co-dependency.

And if you’re sitting on a protocol or service that makes cross-border crypto trade easier? You’re not just building a tech stack. You’re building an insurgency.

— John van Rijck, Analyst at AllCryptoWhitepapers.com

Another Fallout from a Major Exchange? Yeah, Probably.

Let’s not dance around it — the crypto industry has a habit of building skyscrapers on swampland. And when the foundations shift, things come crashing down fast. So when people ask, “Could we see another major exchange collapse?” the answer isn’t just “yes.” It’s “why wouldn’t we?”

Because despite the wreckage of FTX, Quadriga, Mt. Gox, and other cautionary tales from the graveyard of centralized trust, the ecosystem still leans hard on a few key players who operate like casinos dressed up as banks. The incentives haven’t changed. The opacity hasn’t changed. The users — us — haven’t changed much either.

The Myth of “Post-FTX Maturity”

FTX’s implosion was supposed to be a watershed. Regulators woke up. Users got skittish. CEXs started tweeting about proof-of-reserves and internal audits like they’d just discovered religion.

But here’s the thing: proof-of-reserves without proof-of-liabilities is theater. And most exchanges stopped pushing those transparency updates once the heat died down. Binance, for instance, made a big show of publishing wallet addresses, then quietly slowed updates. Others just shrugged and hoped everyone forgot.

Meanwhile, regulators have been throwing spaghetti at the wall — sometimes landing real punches (see: SEC vs. Coinbase), other times just flailing in public. But as of today, there’s still no global standard for how exchanges should safeguard assets. The Wild West is still open for business.

Who’s Next?

I won’t name names like it’s a prediction market, but here’s the checklist for potential fallout candidates:

• Heavily rehypothecated assets

• Unclear custody arrangements

• Aggressive yield offerings

• Opaque corporate structure

• Slow withdrawals when things get spicy

If an exchange checks more than two of those boxes, it’s a timebomb. Especially in a liquidity crunch — say, Bitcoin dumps 40% in a week and everyone tries to exit at once. Or a big ETF gets delayed. Or some whale gets liquidated on leverage and sets off a margin-call domino.

We saw something eerily similar last year with Prime Trust. One minute they’re handling custody for half the neobanks in the U.S., the next they can’t find customer funds. Sound familiar? It should. These failures often rhyme.

The Decentralization Mirage

You’d think all this would push users toward DeFi, but let’s be honest: DeFi isn’t immune to the same risks, just mirrored through smart contracts instead of suits.

Remember Curve’s Vyper bug? Or the half dozen bridge hacks in the last twelve months? At least with CEXs you get someone to blame. In DeFi, you’re just screaming at a multisig on Discord.

That said, a real DeFi alternative to centralized exchanges is long overdue. Not just some sludgy AMM interface, but an actually usable, performant, permissionless trading experience. We’re not there yet. And until we are, people will keep parking their coins on shiny centralized platforms because they’re convenient, fast, and (seemingly) safe.

What Could Trigger the Next Collapse?

Here’s the shortlist of powder kegs:

• Regulatory chokehold: Especially in the U.S. or EU, where compliance costs are crushing smaller players.

• Banking partners cutting off access: We’re already seeing banks get skittish again.

• Stablecoin depegging: Tether’s doing fine until it isn’t. Remember Terra?

• Exchange token meltdown: If an exchange props up its balance sheet with a native token and that token tanks… well, see FTT.

Any of these could crack the veneer. And when the music stops, most users won’t know where their funds actually were — on the exchange, in an omnibus wallet, in a side-pocketed lending pool?

So What

Expect another major exchange to collapse. Maybe not tomorrow. But eventually. Probably when markets get chaotic again and all the stress-tested promises turn out to be stress-fantasies.

Best-case scenario? It’s a smaller one, and the contagion is contained. Worst-case? It’s another FTX-level implosion, and we all have to sit through another round of Senate hearings where no one can explain crypto without sounding like they just learned about it yesterday.

Self-custody, people. Use it. At least then, when things burn, you’re holding the ashes.

— John van Rijck, Analyst at AllCryptoWhitepapers.com

Animoca Brands Eyes U.S. IPO Amid Regulatory Shift Under Trump Administration

Animoca Brands, a Hong Kong-based blockchain investment firm, is preparing for a public listing in New York, capitalizing on what it perceives as a favorable regulatory environment under the Trump administration. Executive Chairman Yat Siu described this period as a “unique moment” for digital asset companies to access U.S. capital markets.

Strategic Timing and Regulatory Landscape

The decision to pursue a U.S. listing marks a significant shift for Animoca, which had previously been delisted from the Australian Securities Exchange in 2020 due to governance concerns. Siu emphasized that the current U.S. regulatory climate, characterized by a more lenient approach to digital assets, presents an opportune time for the company to enter the American market.

Under the previous administration, the U.S. Securities and Exchange Commission (SEC) had initiated numerous enforcement actions against crypto firms, creating a challenging environment for companies like Animoca. However, the current administration has signaled a shift, with reports of the SEC dropping or pausing several enforcement cases against crypto companies. This change has encouraged firms like Animoca to reconsider their stance on U.S. market participation.

Financial Position and Investment Portfolio

Animoca Brands has reported unaudited earnings of $97 million from $314 million in revenue for the year ending December 2024. The company holds approximately $300 million in cash and stablecoins, along with $538 million in digital assets. Its investment portfolio includes stakes in prominent crypto companies such as OpenSea, Kraken, and Consensys.

Implications for the Crypto Industry

Animoca’s move to list in the U.S. could signal a broader trend of crypto firms seeking to tap into American capital markets, especially as regulatory conditions become more favorable. Other companies, including Kraken and Circle, are reportedly considering similar moves, potentially leading to a wave of crypto-related IPOs in the U.S.

The Takeaway

Animoca Brands’ planned U.S. listing underscores the impact of regulatory environments on strategic business decisions within the crypto industry. As the U.S. adopts a more accommodating stance toward digital assets, companies like Animoca are poised to leverage these conditions to expand their presence in the world’s largest capital market.

— John van Rijck, Analyst at AllCryptoWhitepapers.com

Pump.fun’s Creator Fee Model Signals a New Phase for Solana’s Meme Economy

The meme token gold rush on Solana just took a sharp turn toward sustainability. On May 9, 2025, Pump.fun — the viral token launchpad that’s dominated Solana activity in recent months — announced a new revenue-sharing model that gives creators a cut of trading fees. It’s the first time creators of memecoins can earn ongoing income from the frenzy they ignite.

From Chaos to Cash Flow

Pump.fun has exploded in popularity by making it frictionless to deploy and trade meme tokens on Solana. Anyone can launch a token in minutes, with an embedded bonding curve and automatic liquidity — no dev skills or VC funding needed.

The problem? Most of those tokens were short-lived cash grabs. Creators had no incentive to maintain projects once initial hype faded. Now, that’s changing.

Under the new model, 50% of trading fees on Pump.fun’s native swap platform, PumpSwap, will go directly to token creators. That translates to 0.05% of each trade involving their token — paid automatically in SOL. Even tokens that have left the initial bonding curve and are trading freely on PumpSwap still generate income for their original deployers.

Numbers That Matter

To understand the impact, consider the recent stats. Pump.fun reported a staggering $14.6 billion in total trading volume in April alone. Had the revenue-sharing model been in place then, over $7.3 million would have gone directly into the wallets of token creators.

And this isn’t theoretical. Within 24 hours of the launch, creators had already earned over $60,000 collectively, according to the official Pump.fun account on X.

This model has the potential to turn serial token creation into a new kind of recurring income stream — one with radically low barriers to entry. It also adds an unusual twist to Web3 economics: creators can now profit without selling or promoting their own token, simply by letting the market do what it does best — speculate.

A Fragile Incentive Shift

Whether this shift will improve the quality of memecoins remains to be seen. Critics argue that even with shared fees, the dominant incentive is still short-term — push volume, cash out, and move on. But others see it as a meaningful upgrade over the zero-alignment model that previously defined meme launches.

At minimum, it reduces the temptation to hard-rug or abandon a project immediately after launch. For high-volume tokens, passive income from ongoing trading can outweigh any single pump-and-dump. The platform is effectively paying creators to not kill their coins too soon.

There’s also a reputational angle. As revenue streams build over time, creator identity and brand may become more important — leading to better-designed tokens, repeat builders, and possibly even emergent communities around the most active creators.

Still Mostly Anonymous

But don’t mistake this for professionalism. Pump.fun is still very much the Wild West. Token names like “goblinfart,” “chadscam,” and “elonpepe420” are the norm, and few (if any) creators use real identities. The tools are simple, the UI gamified, and the culture intentionally irreverent.

What’s different now is that the incentives are finally layered. It’s no longer just about grabbing attention on X or Discord for a 10-minute sprint to liquidity. Volume now has recurring value. Builders can stick around without needing to manually monetize via presales or influencer grifts.

The Bigger Context: Solana as the Meme Layer

Zooming out, this move is part of a broader story: Solana is becoming the de facto chain for speculative memecoins. With sub-cent transaction fees and high throughput, it’s optimized for the kind of fast-paced trading that memecoins thrive on.

Platforms like Pump.fun have weaponized this dynamic. Instead of waiting weeks to deploy an ERC-20 and praying for a centralized exchange listing, users can launch a coin, trade it, and (in some cases) walk away with thousands — all in under an hour.

The addition of creator fees now gives the ecosystem a flywheel effect. More creators → more tokens → more trades → more earnings → more creators. If Solana was already the “retail casino” of crypto, this just added slot machines that pay both ways.

Risks and Realities

Still, the model doesn’t fix fundamental risks. Most Pump.fun tokens are worthless within hours. Liquidity is thin. Community management is non-existent. For every token that reaches meme escape velocity, hundreds fade into obscurity — often leaving retail buyers holding the bag.

There’s also an open regulatory question. While revenue-sharing in DeFi is common, the U.S. SEC has previously treated such models as potential securities offerings. Whether that logic extends to pseudonymous meme token deployers remains unclear — but history suggests regulators will eventually take interest if the numbers keep climbing.

The Takeaway

Pump.fun’s move to pay memecoin creators from trading fees marks a key evolution in crypto’s lowbrow, high-volume corner. It may not cleanse the space of scams or volatility, but it creates a longer-term incentive for builders to stick around — and potentially develop reputations. Whether this leads to better projects or just better scams, one thing is clear: the meme economy now has recurring revenue.

— John van Rijck, Analyst at AllCryptoWhitepapers.com

How to Position Yourself for Social Trading Without Getting Rekt

Social trading is having a moment. Again.

Every few cycles, crypto rediscovers the magic of copying someone else’s trades and pretending it’s alpha. But this time, there’s a twist — it’s actually working for some people. Real-time wallet tracking, tokenized trader performance, and platforms turning PnL into content. It’s all getting weirdly efficient.

So if you’re eyeing this trend — not just as a lurker but as a participant — how do you position yourself without becoming someone else’s exit liquidity?

First, Know Which Side You’re On

There are two types of players in social trading: the performers and the audience.

If you’re the performer — the wallet everyone’s watching — you’re either a sharp trader, a calculated degen, or a really good faker. You need consistent wins, a public address, and probably a decent shitposting game. You’re selling a narrative, not just entries.

If you’re the audience — the copy trader — your entire edge comes from picking the right performer and not being late.

This sounds easy until it’s not. Because once a trade gets too visible, it stops working. By the time the Telegram alpha channels and tracking bots catch it, you’re probably buying the local top.

Positioning here means moving fast, being selective, and not assuming someone’s hot streak will last forever.

Use the Tools, But Don’t Marry Them

Platforms like eToro, dYdX, CopyTrader, or the new Solana-native stuff popping up — they make it easy to follow trades. Some are automated. Some just give you alerts. Either way, the UX has leveled up.

But the biggest mistake people make is blindly trusting the leaderboard. That +5000% guy? He might’ve just aped a presale that did a 50x. Doesn’t mean he knows what to do next.

You need context. Look at consistency. Trade size. Frequency. What’s the risk management? Or is this just a 22-year-old who got lucky on a meme coin and now has 14,000 followers and no exit plan?

You Can Be Early or You Can Be Copying, Not Both

This part hurts, but it’s true: the earlier you are to a trade, the less signal you have. The more signal you have (because others have done it first), the later you are.

Social trading sits right in this tension. You want to follow smart money, but not after everyone else has. That means building your own filters — not just relying on copy buttons.

Who are the real thinkers? Who rotates early? Who always exits before the rug? Start identifying patterns, not just trades.

Positioning yourself means playing the meta, not just the market.

Also: Don’t Be a Statistic

You’re gonna get rugged eventually. Everyone does. The trick is to not let one bad copy trade wipe your stack.

Use tight sizing. Never go all-in on someone else’s conviction. Remember: the person you’re copying doesn’t care about your bags. They’re not responsible for your entries or exits.

Social trading is a shortcut to exposure, not a substitute for discipline.

The Real Edge Is Building an Audience

If you’re consistently winning, consider flipping the game: become the one others copy.

Build a public wallet. Share plays. Post transparent wins and losses. Over time, you’ll attract followers. And in crypto, attention can be monetized just as well as alpha.

There are already traders tokenizing themselves. Platforms rewarding top performers with rev shares. We’re entering a world where a good track record and a decent meme game can turn you into a protocol.

But don’t fake it. The internet’s too fast. One botched snipe or insider dump and you’ll be rebranded as exit scammer of the week.