The cryptocurrency rises 5000% in a day, but turns into a scandal

The crypto world was recently rocked by the remarkable launch of the SatoshiVM SAVM token on January 18th. Immediately after the offering, SAVM's market capitalization skyrocketed, reaching a peak of a whopping $90 million. That was an increase of several thousand percent in just a few hours, which is of course crazy in itself. But the story doesn't end there, as a dark cloud has formed over the project and its rapid rise.

Start with crypto for free 📈: Today Bitvavo is giving all Dutch people €10 free crypto of their choice 🚀. Register today 🚀

Alleged market manipulation SAVM

The SAVM controversy actually arose quickly. Allegations of market manipulation have been made. Data from Bubblemaps showed that up to 15% of the token’s total supply was sent to a small number of crypto influencer wallets. These influencers then sold the tokens immediately after receiving them.

Notably, some prominent investors involved in SatoshiVM's private sale quickly took profits on their positions. While many of them initially announced to their followers on social media that SAVM would be the new hype.

The team behind SatoshiVM itself is also said to have sold significant amounts of tokens within 48 hours. According to rug.ai, the team would have walked away with a profit of $4.7 million. Influencers have also managed to score some nice loot. Together they earned $4.8 million from the SAVM launch. These are all signals of a common pump-and-dump or back-pull operation.

Answer from SatoshiVM

To provide clarity and reassure the community, the SatoshiVM team announced an “Ask Me Anything” (AMA) session on Reddit. There has been no further response from the team.

Read Also:  At Easter, average travel spending is reduced by 15%

In any case, it is clear that the controversy is not going away any time soon. All signals point to a pump and dump; A project with which the founders and insiders want to earn as much money as possible in a short period of time on the backs of investors. However, that doesn't mean that all investors lost money. This is how a clever trader managed to capitalize on the hype and become a millionaire in one fell swoop, even though he is of course in the minority in this case.

Post views: 0

Recent Articles

Related News

Leave A Reply

Please enter your comment!
Please enter your name here