Zhu Su: Pump.fun’s TGE Further Boosts Demand and Price of SOL

According to Jinse Finance, Zhu Su, co-founder of Three Arrows Capital, shared his market perspective, stating that "Pump.fun's TGE has fueled SOL's rise" for the following reasons: Pump.fun itself does not hold a large amount of SOL, so it does not create selling pressure by offloading SOL, alleviating market concerns about "sell-off risk"; There is a misunderstanding in the market regarding Pump.fun selling SOL—users typically purchase SOL with US dollars, participate in Pump.fun transactions, and pay fees in SOL, after which the platform converts SOL back to US dollars. This model is simply a standard consumer business process and does not directly cause SOL's price to fall; Pump.fun's high revenue within the Solana ecosystem (for example, a record $106 million in monthly revenue in November) has attracted more market attention, highlighting Solana's potential as a high-performance blockchain. This not only draws more developers to build projects on Solana, but may also drive a revaluation of SOL as an investment-grade consumer protocol; Solana ecosystem investors who participated in Pump.fun's initial token offerings tend to reinvest their profits back into SOL, further boosting its demand and price.