The decentralized exchange Raydium, operating on the Solana network, is preparing to launch its own token issuance platform in the weeks ahead, aiming to enhance revenue for its already thriving trading service.
The RAY token, which is Raydium’s native cryptocurrency, has surged by 13% over the last 24 hours, outperforming a 1.62% increase in the broader market as tracked by the CoinDesk 100 (CD100) index.
Raydium’s new initiative, called LaunchLab, is initially expected to take inspiration from the successful token issuance platform Pump.Fun, as per initial reports. Developers assure that it will come equipped with several extra features designed to improve the experience for token launches.
LaunchLab will incorporate three types of bonding curves that facilitate the alignment of demand and pricing for tokens, allowing third-party user interfaces to establish their own fee structures. A bonding curve is an automated mechanism that modifies prices as tokens are bought or sold on decentralized exchanges.
A developer from Raydium, known as @0xINFRA, mentioned in a post that this service could be seamlessly integrated into existing applications utilizing Raydium’s current offerings — including AMM v4, CP-Swap, and CLMM pools.
“Our goal isn’t to compete with other launchpads that currently operate on Raydium — LaunchLab simplifies on-chain token launches for teams, providing a neutral and permissionless infrastructure,” he said.
Adding some more insight here…
LaunchLab is launching as a permissionless, customizable bonding curve program for Solana token launches and third-party UIs.
Here’s a detailed overview of what’s ahead: (1/7) https://t.co/Cs1FZ4UEJz
— Infra | Raydium (@0xINFRA) March 19, 2025
Raydium is currently amassing more than $1 million in fees daily from trading across all its liquidity pools, which extends beyond just those linked to Pump.fun tokens. However, as of February, over 30% of Raydium’s daily trading volume was derived from Pump.fun tokens, according to a Dune dashboard.
Pump.Fun allows anyone to start a token for under $2 in initial capital, giving them the ability to choose the total number of tokens, theme, and accompanying meme image. These tokens automatically become available for trading on Raydium once they reach a market capitalization of $69,000.
However, in late February, Pump.Fun seemingly transitioned away from Raydium as its issuance platform by introducing its own AMM tool, meaning tokens would now be traded further on Pump instead of Raydium.
The two teams have not established an official partnership and have not publicly addressed the recent changes.
Meanwhile, @0xINFRA has dispelled early speculations that LaunchLab is simply a fork of Pump.Fun.
“It is not a Pump fork; while LaunchLab’s proof-of-concept UI resembles it for ease of use, it is significantly more adaptable,” he stated in the post. “This is just the first of a suite of tools—additional models are in development to address various liquidity needs. We are open to feedback and collaborations for custom models. This initiative is not about acquiring Pump’s users; it’s about enriching the Solana ecosystem,” he added.