SatoshiVM Faces Allegations of Rug Pull Scheme Amidst $3Mln SAVM Token Sales
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The post SatoshiVM Faces Allegations of Rug Pull Scheme Amidst $3Mln SAVM Token Sales appeared first on Coinpedia Fintech News
LookOnChain, a platform that tracks crypto data, found that a wallet linked to SatoshiVM sold a large number of SAVM tokens worth over $3 million. This raised worries that the project might be involved in a tricky situation called a Rug Pull.
Strange Wallet Moves
A recent post on X by LookOnChain, a platform specializing in on-chain data tracking, brought attention to a wallet associated with the SatoshiVM team actively selling SAVM tokens.
The post highlighted that the wallet address 0xfdac received a substantial 420,000 SAVM tokens, equivalent to a staggering $4.7 million, from the SatoshiVM team.
After getting these tokens, the wallet did some interesting things. It sent 189,700 SAVM tokens, worth $2.12 million, to 24 new wallets. Plus, the owner of the wallet sold 124,739 SAVM tokens for 504 Ethereum tokens (ETH), totaling $1.24 million, according to info from Etherscan. So, in total, all these transactions added up to $3.36 million.
Meanwhile, people are worried that this might be a “pump-and-dump” situation, which is not good. It’s similar to a “rug pull scam,” where developers create a lot of excitement about a new crypto (like SAVM) and then suddenly disappear with the money.
Is SAVM Hiding a Potential Scam?
Even though we don’t have strong evidence, experts are expressing doubts about SatoshiVM. WEB3 Market Insight called it a “SAVM Pump and Dump,” and BareNakedCrypto called it a “scam.”
callled it btw
— BareNakedCrypto
Its a scam.
Influencers protecting themselves past few days
Now what do you have to say? https://t.co/pwl1d5Yl8P, (@BearNakedCrypto) January 22, 2024
People are also questioning the role of influencers associated with SAVM, wondering if they were aware of the situation.
One analyst, Daniel, said that if a project is genuinely good, it doesn’t need influencers for support. Legitimate projects can get funding from reliable sources without relying on social media hype.
A significant number of SAVM tokens, about $10.5 million worth, were given to influencers on January 20. This made up 11.5% of all SAVM tokens. Around the same time, SAVM’s price went up by 17%, reaching over $11. However, it later settled at $10.96, still higher than before.
SAVM’s Price Volatility Raises Red Flags
SAVM’s overall value in the market is $76.96 billion, and the amount of SAVM traded in the last 24 hours increased by 3.48%, totaling $37.45 million. Initially, SAVM’s price went up to $14.10 on its launch day but then dropped to a low of $7.26, making people worry about a potential pump-and-dump strategy.
As the crypto community keeps an eye on these events, questions about SatoshiVM’s reliability and the risks for people investing in SAVM are causing concerns.
