User-generated content (UGC) memecoin platforms are currently seeing rapid growth. Platforms like Pump.fun and Moonshot let anyone create and trade tokens in minutes—often with no audits or liquidity. These tokens may appear in your Phantom wallet with a warning label.
This article explains what UGC memecoins are, how these platforms work, and why Phantom flags these tokens in your wallet.
What are Pump.fun and Moonshot?
Pump.fun and Moonshot are platforms that let anyone create and trade memecoins—tokens based on jokes, memes, or trends—on the Solana blockchain. These platforms allow tokens to launch quickly without audits, liquidity, or traditional project teams.
Here’s how they work:
- Pump.fun launches SPL tokens using a bonding curve to simulate price and market cap as users buy in.
- Once a token hits a $69,000 simulated market cap, Pump.fun adds liquidity and lists it on Raydium.
- Moonshot uses a similar model.
These tokens are real SPL assets, but they start with no external liquidity and no price discovery outside the platform.
Why does Phantom flag these tokens?
UGC memecoins come with increased risk compared to more established tokens. Most:
- Have no audits or formal security checks
- Begin with little or no liquidity
- Lack a development team or roadmap
- Show high volatility
- May be abandoned or used for malicious purposes
Because of these factors, Phantom displays a warning label next to certain tokens to help you identify higher-risk or experimental assets.
Warning: Always research tokens before interacting with them. Only buy, trade, or hold assets from trusted sources and known platforms.
Key tips for safety
- Never share your secret recovery phrase with anyone — not even Phantom support.
- Always store your phrase in a secure, offline location.
- Only interact with trusted dApps and websites.
For more information about wallet safety and token risks, visit help.phantom.com.