Following the July 13 assassination attempt on Donald Trump, the cryptocurrency market saw a surge in meme coins like $FIGHT.
This sudden interest allowed some crypto insiders to turn an initial investment of around $5,000 into over $7 million, effectively outmaneuvering regular traders.
Lookonchain revealed this insider trading activity on the Ethereum network, showcasing the risks prevalent in the crypto market. The firm identified 24 wallets linked to insiders or developers based on their suspicious trading patterns.
These wallets collectively spent 1.5 ETH (about $4,864) to purchase 378.45 million $FIGHT tokens, representing 37.8% of the total supply, all before the token was publicly traded.
By the time of Lookonchain’s report, these wallets had sold off 261.6 million $FIGHT tokens, holding onto 116.8 million, with an unrealized profit of $7.36 million based on the current token value.
This event highlights how crypto insiders often exploit market conditions and retail traders by launching meme coins and other questionable schemes, leveraging market hype and information asymmetry.
The SEC has sought a four-month extension in its investigation related to Coinbase, pushing the deadline to February 2024, just after the US presidential election.
DZ Bank, Germany’s second-largest financial institution, has teamed up with Boerse Stuttgart Digital to offer cryptocurrency trading and custody services across its network of cooperative banks.
Charles Hoskinson, founder of Cardano, will meet with Argentina’s President Javier Milei in October to discuss blockchain’s role in shaping future economies.
An Ethereum whale has recently caused a stir by offloading a substantial portion of its holdings, selling over $24 million worth of ETH in the past three days amid significant market pressure.