Experts in the field of cryptocurrency have uncovered evidence that points to a single address being the source of numerous fraudulent MemeCoins.
The cryptocurrency analytics tool LookOnChain recently identified a scammer who minted meme coins and then sold them to innocent customers.
The scammer made over 160 ETH ($315,000) using this strategy.
According to LookOnChain, the scammer keeps producing new meme currencies and boosting the pool’s liquidity so that customers can purchase them. After a few days, it eliminates all liquidity and takes the ETH from the pool, leaving the buyers with worthless tokens.
LookOnChain revealed some meme coins created by the fraudster, including TOMMY, KSI, ZUCK, BILL, WALTER2.0, and GIGA2.0. The scammer stole 1.5 ETH from KuCoin, a cryptocurrency exchange, and then employed it to create TOMMY.
Following that, he added 1 ETH in liquidity to the pool and waited 18 days. After that, he removed the liquidity and received 28.7 ETH in return. He repeated the process with KSI, ZUCK, and BILL, collecting 140 ETH in all.
Additionally, the fraudster created WALTER2.0 and GIGA2.0 and added 2 ETH to each pool as liquidity. While it has not yet removed liquidity, thus LookOnChain advises users to avoid these tokens.
Before investing, customers were urged by LookOnChain to proceed with caution and research the creators’ backgrounds.
Disclaimer: Nothing on this website should be regarded as investment advice. Investing involves a high degree of risk and uncertainty. When you invest, your money is at stake.