Pump.fun has removed Cashback Mode from the launch flow for new tokens and introduced Holder Rewards, replacing a trading-linked rebate model with automatic payouts to wallets that continue holding eligible tokens.
Fees are now routed to holders instead of traders claiming rebates
Under the new structure, fees assigned to a Holder Rewards token are sent to a Pump.fun distribution wallet and paid out pro rata several times an hour. A wallet must hold more than $20 worth of the token to qualify, and bigger balances receive a bigger share.
Cashback rewards previously had to be claimed through Pump.fun, its app, or Terminal. Holder Rewards distributions are automatic. They are paid in the token pair’s quote asset, meaning SOL for a SOL pair, for example, or PUMP for a PUMP pair.
Pump.fun promotion mentions holding time, but the post does not explain it
Pump.fun promoted the feature with the phrase 「longer hold times, higher ceilings」. Its distribution post says rewards are paid pro rata and that larger token balances earn more, but it does not explain there how holding time changes rewards or what the referenced ceilings are meant to represent.
Protocol fees stay the same, while Custom Pairs use a selectable flat rate
The platform said its protocol fees do not change based on token type. For SOL and USDC pairs, Holder Rewards fees use Pump.fun’s existing tiered structure, which declines as a token’s market capitalization increases.
For Custom Pairs, creators choose a flat Holder Rewards fee ranging from 0.01% to 3%. After that selection is made, it cannot be changed.
Existing Cashback tokens must apply if they want to switch
Cashback had redirected creator fees to traders. In a February post, Pump.fun described that choice as permanent, but the new policy creates a way to move out of that setup.
Existing Cashback tokens and Creator Fee tokens will not switch automatically. Token teams and communities can apply through Pump.fun’s fee-redirection form, and applicants using Custom Pairs must specify their new flat fee. Pump.fun said it will decide whether to accept or reject requests using information it considers best for the token and its community.
New launches now have only two fee-model options
Creators launching new coins can now choose only between a standard Creator Fee token and a Holder Rewards token. Once a coin is converted to Holder Rewards, that decision cannot be reversed.