Zhu Su: Pump.fun's TGE has further boosted the demand and price of SOL

BlockBeats News: On July 17th, Zhu Su, founder of Three Arrows Capital, expressed market views stating that "Pump.fun's TGE has boosted SOL's rise" for the following reasons: Pump.fun itself does not hold a large amount of SOL, so it will not cause price pressure by selling SOL, eliminating market concerns about "selling risk"; There is a misunderstanding in the market about Pump.fun selling SOL. Users usually purchase SOL in US dollars, participate in Pump.fun transactions and pay SOL fees, and the platform then exchanges SOL back into US dollars. This model is just a regular consumer business process and will not directly lead to a decrease in SOL prices; Pump.fun's high revenue in the Solana ecosystem, such as reaching $106 million in monthly revenue in November, has attracted more market attention and highlighted Solana's potential as a high-performance blockchain. This not only attracts more developers to build projects on Solana, but may also drive the revaluation of SOL as an investment grade consumer agreement; Solana ecosystem investors participating in Pump.fun's initial token offering tend to reinvest their funds into SOL after profiting, further driving up its demand and price.