The token launch has reportedly been postponed multiple times since planning began in early 2024, frustrating backers eager for clarity on the platform’s future.
Pump.fun’s legal headaches center on a class action lawsuit filed by Burwick Law on Jan. 15.
On top of the securities claims, Burwick Law and Wolf Popper LLP served Pump.fun with a cease and desist order in February, alleging that user-generated memecoins regularly use trademarks and brand names without permission, exposing the platform to intellectual property liabilities.
The ban, which was lifted a few days later, sparked rumors that regulators or legal complaints may have prompted the takedown. However, neither X nor Pump.fun confirmed any link to the pending lawsuits.
The incident mirrored a broader trend, as other crypto startups have reported abrupt suspensions on the platform in recent months, further rattling communities already wary of increasing regulatory crackdowns worldwide.
Pump.fun has since expanded its legal team in an attempt to defend itself against multiple lawsuits and maintain community support. Despite the fresh hires, users and investors remain in the dark about when the token sale, billed as a major milestone for the project, will finally take place.
The repeated postponements have also reignited debate within the Solana ecosystem about the sustainability and legal risks of rapid-fire memecoin launches.
Industry watchers say the outcome of the lawsuits could set an important precedent for other meme-focused platforms navigating the thin line between viral hype and regulatory compliance.
