Pump.fun is introducing Holder Rewards and ending Cashback for new token launches. Creators can choose either the standard Creator Fee model, which directs fees to the project team, or Holder Rewards, which routes fees to a Pump.fun distribution wallet for automatic payments to eligible holders several times per hour. Rewards are allocated according to holding proportions, while longer holding periods raise the potential reward cap. Users holding more than $20 worth of a token qualify, and payouts are made in the trading pair's quote asset, such as SOL for a token paired with SOL. Existing Cashback and Creator Fee tokens can apply to switch to Holder Rewards, but the change is permanent. Existing Cashback tokens otherwise remain under their original rules, with previously accrued rewards still available. Pump.fun introduced Cashback in February 2026, but community feedback raised concerns that inactive teams behind high-volume tokens could still benefit disproportionately.