Doraemon-based token DORAE plummets 99% since launch in the last 24 hours.
In the past few months, the number of rug-pull incidents have shown a notable increase.
Multiple rug pull scams occurred over the past few months in the crypto market. Amidst celebrity memecoin shillings and the launch of numerous new tokens, the scams have also shown a surge. Relatively, Doraemon themed token, DORAE originated in the market on Wednesday with signs of rug-pull within 24-hours of launch.
According to Lookonchain reports, the token was deployed by an anonymous individual identified with the wallet address ‘CKEfb2’. Following its launch, the token surged 300% approximately, within a few hours from its initial price of$0.0000280 to $0.0023456.
DORAE/SOL 1H Price Chart (Source: CoinMarketcap)
The token recorded a trading volume of $2.77 million, according to CMC data. At the time of writing, the trading price of DORAE was $0.0001072.
Early DORAE Whale Activity or Deployer’s Rug-Pull?
Meanwhile, an anonymous wallet labeled as ‘CEHgjR’ received 215.7 million DORAE from the deployer’s account. Along with the DORAE tokens, the wallet also received 304 SOL worth approximately $41K from KuCoin. Following this, the wallet bought 2.5 million DORAE tokens using the SOL tokens.
However, after the token witnessed its price surge, during midday, the wallet dumped the 2.5 million DORAE tokens in exchange for 10,538 SOL worth $1.45 million. This caused the tokens to plummet in prices. On the other hand, the individual has acquired a 3436% profit consisting of 10,234 SOL which is worth $1.41 million approximately.
Moreover, analysts suspect that the wallet address that dumped the tokens to be connected with the token deployer. The raise in suspensions was primarily caused because of the deployer sending 215.7 million DORAE to ‘CEHgjR’. This has led to on-chain observers concluding it to be a ‘rug-pull’ scam.
Increasing Rug Pull Scams Over the Past Month
In the past few months, crypto scams have witnessed an upsurge according to reports. This has led to an increase in regulators’ scrutiny as well. Incidentally, in Singapore, following a cryptocurrency scam, banks have announced an increase in security.
Over the past 30 days, several celebrities launched their meme tokens amidst which some tokens reported ‘rug pull’ instances. Notably, pro-boxer Hulk Hogan witnessed a fake memecoin released under his name in the beginning of June. Moreover, other Trump-based tokens have also reported similar crimes.
Apart from meme coin scams, newly launched tokens have witnessed similar instances as that of DORAE. This has led to an increasing concern among investors.
Conversely, according to Chainalysis data, illicit crypto crimes have reduced from 2018 to 2023. The data aggregator has named 2023 as a ‘year of recovery’ from illicit crypto crimes.
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