SunPump to Implement “100% On-Chain Buyback and Burn” Mechanism, Justin Sun Says
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The SunPump meme token will adopt a “100% on-chain buyback and burn” mechanism, Tron founder Justin Sun said.
In a recent post on X, Sun said the decision follows a community discussion that reconsidered the initial plan to burn liquidity pool (LP) tokens.
“Many community members don’t fully understand what LP token burning means, which can lead to misunderstandings,” he wrote.
He acknowledged that while LP token burning, a strategy employed by other popular meme tokens like Shiba Inu, can enhance “token liquidity depth,” it remains a challenging concept for many community members to grasp.
Sun noted that LP token burning, while beneficial, involves intricate processes that could potentially lead to confusion.
To address this, the community has opted for a more transparent and easily verifiable approach—implementing a 100% on-chain buyback and burn process.
According to Sun, this method is not only straightforward but also eliminates the need for additional explanations, as all transactions will be recorded on-chain for immutable verification.
Regarding the issue of revenue buyback and burning for @sunpumpmeme , the community previously suggested burning liquidity LP tokens because this approach is used by mainstream meme tokens like SHIB.
Burning LP tokens has several advantages, including increasing token liquidity…
The new buyback and burn process is set to begin immediately, marking a significant shift in the token’s management strategy.
Sun pointed out that this approach is not exclusive to SunPump, citing the example of
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