Law Firm Initiates Class Action Lawsuit against Pump.fun, Victims May Have Opportunity for Compensation
Original Article Title: "Pump.fun Involved in Fraud! US Law Firm Burwick Law Launches Class Action Lawsuit: Millions of Victims"
Original Article Author: Arthur Wang, BlockTempo
The US law firm Burwick Law is currently representing investors who suffered losses on the Solana blockchain's Meme launch platform Pump.fun, initiating a class action lawsuit and calling on victims to participate in the investigation to seek compensation.
Victims May Have Opportunity for Compensation
According to Burwick Law's announcement, the firm is currently filing a lawsuit against the Pump.fun platform, accusing it of potential fraud and manipulation. Affected investors can fill out a free investigation form on the firm's website to provide information to assist in the case investigation.
The firm noted that this action stemmed from months of contact with investors who suffered significant losses due to memecoin investments, alleging that the meme coins on the platform were involved in "rug pull" and unfulfilled promises. The firm further stated:
"Over the past several months, Pump.fun has collected billions of dollars in fees and allowed illegal drug use, self-harm, racism, anti-Semitism, indecent behavior, animal abuse, violence, and other antisocial behaviors on the platform."
Pump.fun Controversy: Low Returns and Fraud Suspicions
Pump.fun is a Meme launch platform based on the Solana blockchain, allowing users to create and issue tokens without the need for technical knowledge, but its operational model and transparency have been questioned.
Data shows that out of the 14 million crypto wallets that interacted with Pump.fun, only 0.4% made profits exceeding $10,000, and only 0.04% exceeded $100,000. Burwick's potential client base of victims could reach millions.

Adam's X
The firm criticizes Pump.fun's anonymous founders and other corrupt individuals and entities associated with the platform, believing that they exploit general investors using the professional jargon and false promises of the cryptocurrency industry, hindering the space for truly socially valuable projects.
Platform Functionality Controversy
Pump.fun used to offer a live streaming function, but due to the creators engaging in risky behavior to promote a token, this feature has been disabled. Furthermore, the Financial Conduct Authority (FCA) of the United Kingdom has banned UK residents from using Pump.fun as of December 2023 to prevent the spread of related fraudulent activities.
Other Actions and Stance of Burwick Law
Burwick Law explicitly states that the law firm is not associated with any token using its name or image and emphasizes its commitment to promoting accountability in the crypto industry. Apart from the Pump.fun case, the law firm has also filed legal actions against other fraud-related NFT and blockchain projects, including Moonbirds and Proof Collective NFT, as well as Full Send Metacard NFT.

Divergent Views from International Communities
In response to the controversy surrounding Pump.fun, international communities hold varying opinions. Some believe that since the platform collected fees amounting to billions of dollars, legal action should be taken to seek justice for the victims. Others argue that investment failures should be borne by the investors themselves and that thorough research should be conducted before making investments. Additionally, some have labeled Pump.fun as a "scam machine," accusing the platform team of profiting through rug pulls and criticizing such actions for eroding investor trust. Some victims have admitted to significant losses but remain skeptical about the effectiveness of legal fees and actions, questioning whether lawsuits can actually resolve the issues.
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Mixin has launched USTD-margined perpetual contracts, bringing derivative trading into the chat scene.
The privacy-focused crypto wallet Mixin announced today the launch of its U-based perpetual contract (a derivative priced in USDT). Unlike traditional exchanges, Mixin has taken a new approach by "liberating" derivative trading from isolated matching engines and embedding it into the instant messaging environment.
Users can directly open positions within the app with leverage of up to 200x, while sharing positions, discussing strategies, and copy trading within private communities. Trading, social interaction, and asset management are integrated into the same interface.
Based on its non-custodial architecture, Mixin has eliminated friction from the traditional onboarding process, allowing users to participate in perpetual contract trading without identity verification.
The trading process has been streamlined into five steps:
· Choose the trading asset
· Select long or short
· Input position size and leverage
· Confirm order details
· Confirm and open the position
The interface provides real-time visualization of price, position, and profit and loss (PnL), allowing users to complete trades without switching between multiple modules.
Mixin has directly integrated social features into the derivative trading environment. Users can create private trading communities and interact around real-time positions:
· End-to-end encrypted private groups supporting up to 1024 members
· End-to-end encrypted voice communication
· One-click position sharing
· One-click trade copying
On the execution side, Mixin aggregates liquidity from multiple sources and accesses decentralized protocol and external market liquidity through a unified trading interface.
By combining social interaction with trade execution, Mixin enables users to collaborate, share, and execute trading strategies instantly within the same environment.
Mixin has also introduced a referral incentive system based on trading behavior:
· Users can join with an invite code
· Up to 60% of trading fees as referral rewards
· Incentive mechanism designed for long-term, sustainable earnings
This model aims to drive user-driven network expansion and organic growth.
Mixin's derivative transactions are built on top of its existing self-custody wallet infrastructure, with core features including:
· Separation of transaction account and asset storage
· User full control over assets
· Platform does not custody user funds
· Built-in privacy mechanisms to reduce data exposure
The system aims to strike a balance between transaction efficiency, asset security, and privacy protection.
Against the background of perpetual contracts becoming a mainstream trading tool, Mixin is exploring a different development direction by lowering barriers, enhancing social and privacy attributes.
The platform does not only view transactions as execution actions but positions them as a networked activity: transactions have social attributes, strategies can be shared, and relationships between individuals also become part of the financial system.
Mixin's design is based on a user-initiated, user-controlled model. The platform neither custodies assets nor executes transactions on behalf of users.
This model aligns with a statement issued by the U.S. Securities and Exchange Commission (SEC) on April 13, 2026, titled "Staff Statement on Whether Partial User Interface Used in Preparing Cryptocurrency Securities Transactions May Require Broker-Dealer Registration."
The statement indicates that, under the premise where transactions are entirely initiated and controlled by users, non-custodial service providers that offer neutral interfaces may not need to register as broker-dealers or exchanges.
Mixin is a decentralized, self-custodial privacy wallet designed to provide secure and efficient digital asset management services.
Its core capabilities include:
· Aggregation: integrating multi-chain assets and routing between different transaction paths to simplify user operations
· High liquidity access: connecting to various liquidity sources, including decentralized protocols and external markets
· Decentralization: achieving full user control over assets without relying on custodial intermediaries
· Privacy protection: safeguarding assets and data through MPC, CryptoNote, and end-to-end encrypted communication
Mixin has been in operation for over 8 years, supporting over 40 blockchains and more than 10,000 assets, with a global user base exceeding 10 million and an on-chain self-custodied asset scale of over $1 billion.

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