‘WallStreetBets’ Themed Tokens Plummets 90% as Insider Dumps Treasury Holdings
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Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.
WallStreetBets (WSB) token, which is linked to the popular WallStreetBets subreddit, has dropped 90% in the past 24 hours after an insider closely connected to the project dumped a large amount of WSB.
WSB’s market capitalization had jumped to over $50 million in just under three days.
Blockchain sleuth @Zachxbt warned holders of the sales early on Thursday morning, stating one @zjzWSB had “dumped a large portion of the WSB team supply for $635K (334 ETH).”
@ZachXBT said in a separate tweet that yet another token insider called “OIP” signed these transactions that were held on a multi-signature wallet – one apparently existing for the team to fund marketing and exchange listing plans.
The insider sale led to token holders dumping their holdings en masse, which contributed to the 90% price fall.
Previously, Crypto Twitter community members received an airdrop of nearly seven ether (ETH) worth of wsb (WSB) tokens for simply pasting their crypto wallet addresses on @WSBmod’s tweet, one of the pseudonymous creators of wsb tokens.
This helped the tokens to quickly go viral on Crypto Twitter, where holders heralded the “official, unofficial token” as another boost in the ongoing meme coin frenzy – one that has birthed the likes of pepe (PEPE) and wojak (WOJAK), or tokens based on memes rooted in popular internet culture.
Meanwhile, @WSBMod remained hopeful of recovery and warned of legal action against @zjzWSB on Thursday morning.
“Hey @zjzWSB , if you don’t get in touch with me within 4 hours I will file a police and FBI report,” @WSBMod tweeted. “You are fully doxxed. I don’t understand why you would do this.”
“You can still return the money,” he added.
Blockchain data shows none of the tokens were returned as of writing time.
Edited by Parikshit Mishra.
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Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.
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Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.
