The meme cryptocurrency BALD experiences an 87% price drop amid suspicions of a liquidity drain and alleged involvement of prominent crypto figures.
Key Points
- BALD, the meme cryptocurrency, experiences an 87% drop, causing panic among traders due to alleged liquidity drain and questionable actions by the deployer.
- Approximately $22 million worth of liquidity is removed from the market, leading to suspicions and doubts about the legitimacy of the project.
- The BALD deployer denies any wrongdoing on Twitter, but blockchain experts and evidence point to a potential scam involving prominent crypto exchanges and Sam Bankman-Fried.
- The incident sparks discussions on the need for increased security measures and regulations to protect investors in the volatile meme coin space.
BALD, the meme cryptocurrency, has experienced a significant drop of over 87% in the past 24 hours, causing its value to plummet to around $0.00616 during the early European market on Tuesday. This sudden price decline has been attributed to an alleged liquidity drain, leaving traders in a state of panic as they try to exit the risky meme coin. Despite evidence suggesting otherwise, the deployer of BALD denies any wrongdoing.
#PeckShieldAlert $Bald has dropped -87.8%. #SBF👀#Bald Deployer @BaldBaseBald (0xccFa05) has removed a total of 11,137 $ETH liquidity (~$20M). https://t.co/vuzSIT9jXh
The deployer has bridged 9,385 $ETH to #Base, and now the address (0xccFa05) holds 12,433 $ETH (~$22M).… pic.twitter.com/UwaPxHFNXU
— PeckShieldAlert (@PeckShieldAlert) August 1, 2023
BALD Memecoin
The tumultuous day for BALD began with soaring profits on its first day of trading, only to be followed by an unexpected nosedive in value. Suspicions arose when approximately $22 million worth of liquidity, equivalent to 12,433 ETH, was removed from the market. This left traders struggling to salvage their investments, leading to a substantial decline in the coin’s value.
Prominent platform PeckShieldAlert conducted on-chain analysis, uncovering compelling evidence linking the BALD deployer to major cryptocurrency exchanges, including FTX, Binance, and Coinbase. This alleged involvement raises concerns about the legitimacy of the project and the intentions behind its creation.
In an unexpected turn of events, the deployer took to Twitter to refute the claims, stating that they had not sold any tokens since the deployment. Instead, they claimed to have manipulated liquidity and made purchases. However, this tweet seems to contradict the evidence gathered by blockchain experts, further fueling the fire.
Experts investigating the case have also noted a close association between the BALD deployer address and Sam Bankman-Fried, the former boss of FTX. They suggest that Bankman-Fried may have used a VPN to communicate against the bail’s instructions, deepening suspicions of his involvement in the alleged scam. The deployer’s address has reportedly conducted around 400 transactions and has interacted with addresses blacklisted by USDT.
Additionally, analysts have raised eyebrows at the deployer’s history of being the first voter on all sushi proposals and the largest DYDX farmer. They point out that the sentence structure of the BALD deployer’s tweets bears striking similarities to that of Bankman-Fried, further linking the two entities.
Final Thoughts
The fallout from the BALD memecoin rug pull has sent shockwaves through the cryptocurrency community, sparking discussions about the need for increased security measures and regulations in the space. Traders and investors are now left to consider the risks and uncertainties associated with meme coins and the potential for manipulation by unknown actors.
As the investigation into the BALD meme coin debacle unfolds, market participants and authorities are likely to closely scrutinize the cryptocurrency landscape in an effort to protect investors and uphold the market’s integrity.
