How ETF works.

Overview

ETF is a launchpad on pump.fun, on Solana. A fund launched here is an ordinary pump.fun coin paired with SOL. What makes it a fund is set at creation and never changes: where its creator fee goes, and what that fee buys.

90% of the fee goes to the fund's engine wallet, which buys the basket the launcher picked and sends it to every holder. 10% goes to the $ETF buyback wallet, which buys $ETF and burns it. There is no third share and no payout to anyone else.

The basket

A basket is 2 to 10 Solana assets with weights that add up to 100%. Anything with a market can go in: pump.fun coins, PumpSwap and Raydium tokens, tokenized stocks. Before launch every asset is audited:

• Transferable. A non-transferable token can never reach a holder.
• No transfer fee. A fee would silently shrink every payout.
• Accounts not frozen by default. Otherwise holders could not receive it.
• A real market. Enough liquidity and a route from SOL. Rewards are bought on the open market; no route means no reward.

Assets with a transfer hook or an issuer-controlled delegate (regulated tokenized stocks) are allowed and marked as such on the fund's page. The basket is fixed at launch.

The fee split

pump.fun charges a creator fee on every trade of a coin, on the bonding curve and on PumpSwap after graduation. pump.fun also has a fee-sharing program: a coin's creator can split that fee between up to ten addresses, and once the shares are written the program revokes the right to change them.

Every fund launched here writes its split in the transaction right after creation: 90% to its engine wallet, 10% to the $ETF buyback wallet. From then on the fee accrues in a vault owned by that split. Paying it out is permissionless: anyone can call the distribution, and it can only go to those two addresses.

If pump.fun refuses the split at launch (it can be switched off globally), the fund still launches with its engine wallet as the plain creator and forwards the main share itself. Such funds are marked "classic mode" on their page.

The round

One clock runs every fund. Every 10 minutes, for each fund:

1. The fees waiting in the vault are distributed to the two shareholders.
2. The pot is split by weight and every asset of the basket is bought, one swap each: on its pump.fun curve, on PumpSwap, or through Jupiter. The fund is always diversified.
3. Each asset accumulates in the fund's inventory. Once a pile is worth 0.03 SOL it is airdropped to every holder, biggest piles first, up to three per round. Smaller piles keep growing; nothing is lost.
4. The fund's page shows the inventory live: what is held, what was spent on it, what has been airdropped.

A pot under 0.05 SOL waits and joins the next round. A step that fails is retried next round, because the SOL or the tokens are still in the engine wallet. Nothing is skipped quietly: the ledger shows rolled-over and failed rounds too.

The airdrop

Shares are strictly proportional to how much of the fund a wallet holds at the moment of the round. The bonding curve, the PumpSwap pool, the engine wallet and the buyback wallet are excluded before dividing: they hold the coin without being anybody.

Solana charges rent for every token account, so being paid in an asset you have never held means an account has to be opened for you. Holders who already have one are always paid. For the others, the engine opens the account when the drop covers the rent, or after ten consecutive skipped rounds, once per wallet per asset. A wallet that closes an engine-funded account is not funded again. Skipped drops are listed as such, with the reason.

Rewards arrive on their own. There is nothing to claim and nothing to sign. Every payout is a row on the fund's page, with its transaction.

$ETF

The main token. Its buyback wallet is the second shareholder of every fund's fee split, so 10% of every fund's creator fee lands there on chain. Every round the wallet spends what it received on one buy of $ETF and burns exactly what that buy brought in. $ETF's own creator fee does the same.

While $ETF is not live yet, the share still arrives in the buyback wallet and is spent on its first buyback after launch.

Launching

Connect a Solana wallet on the launch page, add a name, a ticker and a logo, build the basket, and send the launch SOL. That covers the pump.fun create, the fee-split transaction and a small permanent gas reserve for the fund's engine wallet. An optional dev buy is bought right after the create and sent to your wallet. If a launch fails, the deposit is refunded.

Engine wallets

Every fund gets a fresh wallet that is its creator on pump.fun and the first shareholder of its fee. The key is encrypted at rest and only used to distribute, buy and airdrop. It needs a little SOL for fees and account rent; if it runs low the round is skipped with a note until someone tops it up.

Ledger

Every round of every fund is a line on the ledger with its distribution, buy and airdrop transactions. Every payout to every wallet is a row on the fund's page. The ledger starts empty. An empty window does not mint a placeholder.

Glossary

• Fund / ETF — a coin launched here, with a basket.
• Basket — the assets the fund's fee buys, with their weights.
• Round — one distribution, one buy per asset, the airdrops that are due, every 10 minutes.
• Split — the on-chain assignment of the creator fee: 90% fund, 10% $ETF.
• Engine wallet — a fund's creator wallet, run by the engine.
• Buyback wallet — the wallet that receives every fund's 10% and buys $ETF.

Important notes

This site explains the product. Payouts depend on trading volume; no volume means no fee and no rounds. The assets in a basket are bought at market and can lose value. ETF is not a regulated fund and is not affiliated with Solana Labs or pump.fun. Nothing here is financial, legal, or tax advice.