pumpfunGUIDES · BASICS
The Pump.fun bonding curve, explained
A bonding curve is a price formula. On Pump.fun, every new coin starts on one: the price goes up automatically as people buy and down as they sell. No order book, no market maker.
How it works
- Every buyer trades with the same curve, so there’s no pre-sale.
- The more of the coin that has been bought, the higher the price of the next buy.
- Selling gives tokens back to the curve and lowers the price.
What “graduation” means
When enough of the curve has been bought, the coin “graduates”. Its liquidity moves to a regular trading pool (today usually PumpSwap) and normal market trading sets the price from then on. Pump.fun shows each coin’s progress toward graduation on its page.
Why early buyers win and late buyers lose
Because price climbs with every buy, early buyers can sell to later ones at a profit. When buying stops, the same maths works in reverse, and prices can fall very fast.
Risks on the curve
- Most coins never graduate.
- Large holders selling can drop the price in seconds.
- Slippage on fast-moving coins can be big.
This is information, not financial advice. Read Is Pump.fun legit? before trading.