Is crypto heavyweight Sam Bankman-Fried involved in a new meme coin scandal?
On-chain data suggests a connection between Alameda Research, Bankman-Fried's company, and the deployer wallet of the short-lived, heavily hyped #memecoins - Bald (#BALD ).
The hype led to a 4,000,000% price increase and attracted over $68 million from traders. 🚀💸
Rise and Fall of BALD: Meme Coin Roller Coaster 🎢💔
Over one weekend, BALD’s market cap skyrocketed to $85 million, thanks to traders who flocked to Coinbase’s new layer-2 blockchain Base. But the ride was short. BALD deployers suddenly pulled millions in liquidity from the token's trading pairs, leaving holders high and dry and causing prices to crash as much as 90%. All this drama occurred before Base blockchain's official public launch. 😲💥
Connections Is Bankman-Fried Involved? 😏🎩
Blockchain detectives discovered potential ties between #AlamedaResearch and BALD’s deployer contract. Wintermute's head of research, Igor Igamberdiev, connected another wallet address to Alameda, stating that its owner demonstrated significant technical expertise and was a smart DeFi user. 📈💼
On-chain data suggests that an Alameda-controlled wallet interacted with the wallet used as a contract deployer. But, it's unlikely that Bankman-Fried is the puppet master here.
Why? Bankman-Fried's internet access is currently heavily controlled due to his bail conditions, restricted to a selection of news, sports, and educational websites, making his involvement unlikely. His parents also agreed to install monitoring software to limit his internet access further, and he's limited to using a flip phone. 📵🔐
Reminder👇
While the dust settles on the BALD scandal, this case serves as a reminder to the crypto community about the inherent risks and volatility of the meme coin market. It's essential always to do your due diligence before jumping on the hype train. 🚂💔
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