Pump.fun, a Solana-based memecoin platform, is facing a class-action lawsuit accusing it of issuing unregistered securities and generating nearly $500 million in fees.
Filed by Diego Aguilar in a New York federal court, the case alleges that Pump.fun, reportedly run by UK-based Baton Corporation, used aggressive marketing tactics to hype volatile tokens, leading to investor losses.
The lawsuit names Baton executives Alon Cohen, Dylan Kerler, and Noah Bernhard Hugo Tweedale, claiming the platform functioned as both an issuer and seller by controlling liquidity, pricing, and promotion.
Aguilar seeks to rescind all token purchases, secure damages for investors, and cover legal costs.
Earlier in January, Burwick Law also announced legal action against Pump.fun, citing investor losses and allegations of fraudulent schemes. The firm further criticized the platform for enabling harmful and offensive content.
Despite mounting legal pressure, Pump.fun recently hit a record $3.3 billion in weekly trading volume, fueled by a surge in memecoins linked to the Trump family.
Coinbase is now facing mounting scrutiny after it allegedly sat on a serious data breach for over four months, exposing the personal information of nearly 70,000 users before taking action.
A major security lapse has rocked Taiwan-based crypto exchange BitoPro, which quietly suffered an $11.5 million hack earlier in May but failed to alert users for weeks.
A Nevada resident has been sentenced to six years in federal prison after orchestrating a sophisticated fraud operation that involved stealing U.S. Treasury checks and using stolen identities to access the funds.
French investigators have dismantled a group of 25 suspects—mostly under 24 years old—linked to a string of failed kidnappings aimed at wealthy individuals in the crypto space.