Solomon Samuel 
ZachXBT Cautions Against Solana Meme Coin Scam
ZachXBT warns against the frenzy surrounding meme currencies on the Solana (SOL) blockchain, citing concerns of scams and rug pulls.
ZachXBT, a crypto detective, has cautioned against taking advantage of the commotion surrounding meme currencies on the Solana (SOL) blockchain.
Presale events for the Solana meme token raised an astounding $122 million in Solana tokens. Concerns about fraudulent operations and rug pulls are looming as the excitement surrounding these projects continues to build.
ZachXBT Cautions Against Solana Meme Coin Scam
Since March 12, ZachXBT’s investigation has revealed that over 27 presale events on the Solana network have raised $122.5 million worth of SOL.A post about the inquiry on X revealed this information.
ZachXBT emphasizes that many of these projects, frequently promoted by smaller accounts are either questionable or downright scams, even though they offer the possibility of making quick earnings.
The prevalence of rug pulls and missing funds heightens investor risk due to the absence of transparency and accountability within the Solana meme coin area.
A user also mentioned that most of these projects did not reveal their rug addresses, fueling the fire of mistrust they already had.
Additionally, Andrei Grachev, Managing Partner at DWF Labs issued a warning against conducting token presales of this kind. On X, he posted a message that read, “This send coins to this address for presale’ reminds me of the ICO craze that occurred in 2017.
It is a common occurrence when many people become wealthy by mistake. It’s a fear of missing out (FOMO) until money changes hands. It is crucial to remember that you have money because someone else made poor choices.
He continued by saying, “Hazardous game, DYOR,” expressing his uncertainty regarding the future of such initial coin offerings.
Smolecoin, a Solana meme token, and HTX, a famous exchange, have reached a deal to allow reimbursements for users affected by the situation. The mounting concerns prompted this arrangement.
This demonstrates that such developers are legitimate in their efforts. According to ZachXBT, the Smolecoin initiative successfully raised 169,982 SOL, equivalent to $31.31 million based on the current price of Solana.
On the other hand, Dexter, the founder of yet another Solana meme coin project, has announced that he intends to offer refunds and strategically manage any residual funds to reduce the likelihood of any potential hazards.
In addition, Dexter has demonstrated his dedication to the proper deployment of funds and the development of projects, which stands in stark contrast to the widespread cynicism that surrounds meme coins on its platform.
The Slerf project, which is known for its meme coin and is based on Solana’s blockchain, experienced a significant setback on March 18th.
Investors in the presale of Slerf have suffered losses that are greater than $10 million as a result of an unfortunate mistake that the developer of the project created.
The creator recently admitted on an X platform that they mistakenly burned a significant percentage of the token supply. This includes assets created to provide liquidity (LP) and distribute airdrops.
The Slerf project, which was identifiable by its account HdENn8…HgNAsF, had successfully raised over 50,000 dollars, representing a value of $10.8 million.
On the other hand, the developer disclosed that they had accidentally destroyed all the LP tokens and the whole reserve of the 500 million SLERF tokens available for the airdrop.
The termination of minting rights has prevented any attempt to recover the loss. A trader from Solana who wished to remain anonymous quickly responded to the increase in the market that followed the burn by exchanging 9,894 SOL tokens with a value of about $1.98 million.
Upon reopening the trade, they reportedly bought a substantial amount of Slerf tokens worth 69.74 million, as reported by Lookonchain.
The investor quickly sold their SLERF shares for a fantastic figure of 25,001 SOL, taking advantage of the increased market activity. This deal exchanged a stunning five million dollars, resulting in a significant profit of three and a half million dollars in just twelve minutes.
Rumors circulating about the possible involvement of a Ponzi scheme during the incident have supplemented ZachXBT’s recent warning.