Creator's memecoin crashes 99% due to insider supply and suspicious transfers
From Cointelegraph
March 16, 2025 08:50 AM:
Hayden Davis, creator of Libra token, launches Wolf memecoin with 80% insider supply, reaching $42M market cap. Blockchain analytics reveal suspicious transfers linking to Davis. Wolf memecoin collapses by 99%, from $42.9M to $570K. Davis faces potential Interpol Red Notice for procedural risk.
Memecoins becoming tools for retail value extraction, says blockchain regulatory firm CEO. Memecoins evolving from social experiments to exploit retail investors. Insider rings and pump-and-dump schemes dominate, creating an unhealthy environment. Investors urged to distinguish between genuine collectibles and fraudulent activities like rug pulls.
US regulators address growing memecoin scams. New York lawmaker introduces bill to establish criminal penalties for cryptocurrency fraud and protect investors. Proposal targets deceptive practices associated with cryptocurrencies. Regulators aim to prevent rug pulls and fraudulent activities in the crypto space.
Read more at Cointelegraph: Libra, Melania creator’s ‘Wolf of Wall Street’ memecoin crashes 99%