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2025-02-06 07:46:14

Solana’s Pump.fun hit with cease and desist over alleged IP violations

Solana-based meme coin deployer Pump.fun continues to draw legal heat as recent allegations claim some tokens launched on the platform violated intellectual property rights. On Feb. 5, Pump.fun a cease and desist letter was issued against Pump.fun by U.S. law firms Burwick Law and Wolf Popper LLP, demanding the removal of several meme coins allegedly misusing their names and logos. A cease and desist letter is a formal legal notice demanding that an individual or entity immediately stop an alleged unlawful activity to avoid further legal action. The letter demands the “immediate removal of the Dogshit2 token” and other tokens that the firms claim were created to impersonate them. It further accuses Pump.fun of enabling these unauthorized deployments and failing to act despite having the technical ability to do so. According to law firms, these actions not only violate their intellectual property but also contribute to deceptive market practices, putting investors at risk. To date, Pump.fun users have created hundreds of tokens, including those themed around Burwick Law, Wolf Popper LLP, and Burwick’s managing partner, Max Burwick. Meme coins themed around Burwick Law and Max Burwick | Source: Pump.fun You might also like: Second lawsuit hits Pump.fun as legal pressure over meme coins intensifies Burwick Law and Wolf Popper LLP also claim that Pump.fun played a role in broader efforts to “intimidate our clients and interfere with ongoing litigation.” They point to meme coins designed to impersonate plaintiffs in the lawsuit, arguing that this represents “the use of blockchain technologies as a tool for disrupting justice and due process.” “Any further unauthorized use of our firms’ names, intellectual property, or association with this token may result in immediate legal action,” a part of the cease and desist letter warned. The cease and desist letter follows two class-action lawsuits against Pump.fun, both led by Burwick Law and Wolf Popper LLP on behalf of investors. The first case, filed on Jan. 16, targeted the sale of the Peanut the Squirrel token, alleging it was an unregistered security promoted through influencer-driven hype. The second lawsuit , filed on Jan. 30, expanded the allegations, naming Pump.fun’s operator, Baton Corporation Ltd, and key figures behind the platform. According to the complaint, Pump.fun allegedly profited from a pump-and-dump business model by aggressively marketing meme tokens that later lost a significant portion of its value. Plaintiff Diego Aguilar claimed he suffered losses after purchasing tokens like Fwog and Griffain, which were initially pushed to high valuations before their prices plummeted. The complaint also accused Pump.fun of extracting nearly $500 million in fees from traders while running a scheme that allegedly mirrors elements of Ponzi structures. However, the case took an unexpected turn when community members analyzed Exhibit C of the lawsuit, which demonstrated how easily tokens can be created on Pump.fun. Dog Shit Going NoWhere (DOGSHIT2) became the center of controversy after some community members discovered a wallet address mentioned in the firms’ lawsuit against Pump.fun matched the one associated with DOGSHIT2. This led to speculation that Burwick and Law may have deployed the token to strengthen its case. Those holding the meme coin, meanwhile, have benefited from the controversy, as DOGSHIT2 surged over 170% in the past 24 hours, reaching an all-time high of $0.01437 on Feb. 6—hours after the cease and desist letter was issued. As of publication time, Pump.fun has yet to issue an official statement regarding the allegations or respond to the cease and desist letter. Read more: Burwick law founder blasts Pump.fun for exploitation, lawsuit looms

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