A new report from Solidus Labs has revealed that 98.6% of tokens issued on Pump.fun, a popular token creation platform on Solana, are considered scams or involved in fraudulent trading.
Additionally, similar issues have been identified on Raydium, a major decentralized exchange (DEX) on Solana.
Report Reveals Massive Scam Rate on Pump.fun
Solidus Labs, a company specializing in blockchain risk monitoring, released a detailed report on the state of certain platforms on the Solana blockchain. According to the report, Pump.fun has issued over 7 million tokens since its launch in January 2024.
However, only 97,000 of these tokens have maintained a liquidity of at least $1,000, which is less than 1.4% of the total tokens.
Pump & Dump tokens on Pump.fun. Source: Solidus Labs
More alarmingly, 98.6% of tokens issued on the platform have been identified as scams or show signs of fraudulent trading. One of the largest scams uncovered by Solidus Labs involved MToken, resulting in losses of up to $1.9 million.
“good (in different ways): railgun, farcaster, polymarket, signal. bad (in different ways): pump.fun, Terra/Luna, FTX. The differences in what the app does stem from differences in beliefs in developers’ heads about what they are here to accomplish,” shared Buterin
93% of Liquidity Pools on Raydium Show Signs of “Soft Rug Pull”
About 25% of these scams involved amounts less than $732. However, the median rug pull involved about $2,832, while the largest detected rug pull totaled $1.9 million.
Though the amounts look relatively small compared to multi-million-dollar scams, the sheer number of affected pools shows the prevalence of this issue.
A common thread between the two platforms is that both are built on the Solana blockchain. Solana is known for its high transaction speeds, processing thousands of transactions per second, and low costs, averaging just $0.00025 per transaction. Because of its technical advantages, Solana has become a prime target for criminals and scammers.
Despite these challenges, Solana remains a promising blockchain with many legitimate and interesting projects. Platforms like Raydium are vital in Solana’s DeFi ecosystem, with monthly trading volumes reaching billions of dollars.
FORM, the token formerly known as BinaryX (BNX), has climbed nearly 20% over the past 24 hours. The surge has propelled it to outperform Bitcoin (BTC) and Ethereum (ETH), positioning FORM as the top gainer in today’s trading session.
The strengthening demand for the altcoin could extend these gains in the short term.
FORM’s Rally Gains Steam
At the time of writing, FORM trades at $2.54. Key technical indicators suggest this upward movement could be more than a short-term spike. These signals point to a sustained rally, which could push FORM to revisit its all-time high of $2.65, a level it previously reached on March 24.
For example, the token currently trades above its Supertrend indicator, which forms dynamic support below its price at $2.11. This indicator tracks the direction and strength of an asset’s price trend. It is displayed as a line on the price chart, changing color to signify the trend: green for an uptrend and red for a downtrend.
When an asset’s price trades above this indicator, it signals dominant buying pressure in the market, paving the way for sustained upward momentum.
For FORM, the Supertrend indicator provides strong dynamic support at the $2.11 level, holding against price dips and reinforcing the potential for continued gains.
Moreover, FORM’s Aroon Up Line confirms the strength of its uptrend. As of this writing, this is at 100%, reflecting significant buying pressure among market participants.
The Aroon Indicator measures the strength and direction of an asset’s trend by tracking the time since the highest and lowest prices over a given period. It comprises two lines: Aroon Up, which measures bullish momentum, and Aroon Down, which tracks bearish pressure.
When the Aroon Up line is at 100 or close, it signals a strong upward momentum and a dominant bullish trend. This suggests that FORM’s buying pressure is high, and its price may continue rising.
FORM Eyes Record Highs at $2.65 as Momentum Builds
FORM currently trades at $2.54, just 4% shy of its all-time high of $2.65, which forms resistance above its price. If bullish sentiment toward the altcoin soars, it could reclaim this price peak and attempt to rally beyond it to record new highs.
“This was due to an entity(s) on the Binance perpetuals market. That’s what triggered the entire cascade. The initial drop below $5 was triggered by a ~1 million USD short position being market-sold. This caused over 5% of slippage in literal microseconds. That was the trigger. This seems intentional to me. They knew what they were doing,” the analyst stated.
Pi Network: From Chainlink Buzz to Transparency Fears
Pi Network recorded strong optimism this week as its native Pi Coin surged by double digits. BeInCrypto attributed the surge to the announcement of a key integration with Chainlink.
They pitched this strategic collaboration as a gateway to real-world utility. Specifically, it positioned Pi closer to the broader DeFi and smart contract ecosystem. However, the euphoria proved short-lived.
Allegations suggest that, like the OM token, Pi coin lacks full clarity around circulating supply, wallet distribution, and centralized control. To some, these are potential red flags in an increasingly regulation-sensitive industry.
“The OM incident is a wake-up call for the entire crypto industry, proof that stricter regulations are urgently needed. It also serves as a huge lesson for the Pi Core Team as we transition from the Open Network to the Open Mainnet,” wrote Dr Altcoin.
Pi coin reversed gains within days, falling 18% from its weekly high. At the time of writing, PI was trading at $0.6112, up by a modest 0.7% in the past 24 hours, per CoinGecko.
Grayscale’s Altcoin Shake-Up: 40 Tokens Under Review
This week in crypto also showed that institutional investor interest in altcoins is heating up again, with Grayscale leading the charge.
The digital asset manager unveiled its updated list of assets under consideration for the second quarter (Q2) 2025. BeInCrypto reported that the list featured zero altcoins across sectors such as DePIN, AI, modular blockchains, and restaking. Among the notable tokens being eyed are SUI, STRK, TIA, JUP, and MANTA.
The update reflects Grayscale’s growing thesis around emerging crypto trends, particularly as the firm seeks to expand beyond its core Bitcoin and Ethereum products.
This announcement follows a broader strategic overhaul from three weeks ago when Grayscale reshuffled its top 20 list of altcoins by market exposure. Several older names were dropped at the time, while newer narratives like Solana-based DePIN and Ethereum restaking plays were pushed to the forefront.
The expansion into 40 coins signals Grayscale’s recognition of renewed retail and institutional appetite for differentiated assets. However, inclusion in the list does not guarantee a fund launch. It only indicates Grayscale’s active research.
XRP and SWIFT Partnership: Breaking Down the Rumors
There was speculation this week about a possible partnership between Ripple’s XRP and banking giant SWIFT in crypto.
This narrative was based on a misinterpreted document. A series of cryptic social posts exacerbated the speculation, which some took as confirmation of collaboration between the global payments network and the XRP ledger.
However, BeInCrypto’s in-depth reporting sank the rumors. While Ripple has long pursued banking institutions and SWIFT has shown openness to blockchain innovations, there is no verified partnership between the two.
SWIFT’s public-facing projects around tokenization and digital asset settlement do not include XRP.
Despite the debunking, the rumors sparked an important conversation about XRP’s long-term positioning. The token remains a top-10 asset and a favorite among retail investors banking on utility-driven price appreciation.
With Ripple’s legal battles with the SEC nearing resolution and international CBDC partnerships in the works, the project is far from irrelevant.
US Dollar Dives: What the DXY Crash Means for Bitcoin
The US Dollar Index (DXY) hit a three-year low this week, sending ripples through the crypto markets. Historically, a falling DXY has been bullish for Bitcoin, and this week was no different, with BTC reclaiming above the $84,000 range.
The greenback’s weakness reflects growing fears of fiscal deterioration in the US, as rate cuts loom and Treasury debt soars.
Japan’s 10-year bond yields hit multi-decade highs, forcing the Bank of Japan (BoJ) into increasingly precarious interventions. As Japanese liquidity spills outward, crypto and risk assets have become inadvertent beneficiaries.
This macroenvironment is ideal for Bitcoin. Weakening fiat, rising global liquidity, and crumbling bond market confidence create a perfect storm.
