Trading incident linked to the cryptocurrency #FOCAI on the Solana blockchain. The findings revealed that a group of 15 suspected insider wallets collectively spent 67.16 $SOL (approximately $14.6K at the time) to acquire 605 million FOCAI tokens, which represented 60.5% of the total supply. These transactions took place on Raydium, a decentralized exchange on the Solana network. The insiders then proceeded to sell all of their holdings for a total of 94,175 SOL, which at the time equated to roughly $20.5 million. This resulted in a staggering profit of approximately $20.48 million for the group.
The plot thickened when Lookonchain issued a correction, revealing that the project’s development team had used additional insider wallets to secure the token supply. This further implicated the FOCAI team in orchestrating the trade. The discovery has caused a stir in the cryptocurrency community, with many expressing outrage at the scale of profits made through what is perceived to be the exploitation of privileged information.
#FOCAI , an AI-focused cryptocurrency, made a promising debut, rapidly soaring in value shortly after launch. Within minutes, the project reached a market cap of $50 million, with trading volume peaking at $48.2 million in less than an hour. However, following the insider trading activity, the token’s value plummeted, and its market cap dropped to $32.7 million. As the price dipped, many analysts began to raise concerns about the project’s legitimacy.
One prominent crypto analyst, @olegmetaverse, flagged FOCAI as a potential scam, citing several red flags. Among the issues raised were the project’s lack of technical integrity, its heavy reliance on buzzwords such as "AI" and "𝐛𝐥𝐨𝐜𝐤𝐜𝐡𝐚𝐢𝐧," and the absence of substantial technical backing. Further analysis revealed that FOCAI appeared to be a mere copy of an existing cryptocurrency, Eliza, with little innovation. The project also suffered from poor documentation, unclear tokenomics, and a weak codebase, suggesting that it lacked the transparency and security expected from legitimate blockchain projects.
