An unidentified scammer has successfully swindled over $315,000 worth of Ethereum (ETH) by capitalizing on the frenzy surrounding meme coins. The scammer’s audacious strategy involved creating and subsequently abandoning these coins, leaving unsuspecting investors high and dry.
Ethereum Frenzy: Lookonchain Exposes The Scammer’s Trail
According to Lookonchain, a prominent data analytics platform, their investigation led them to the discovery of the scammer’s lucrative scheme. The unscrupulous individual meticulously devised a plan that allowed them to profit from the liquidity provided by unsuspecting investors.
The operation unfolded as follows: the scammer would initiate the process by withdrawing 1.5 Ethereum from the reputable cryptocurrency exchange KuCoin. Armed with the funds, they then created a new meme coin called $TOMMY and generously contributed 1 ETH to provide liquidity within the token’s pool.
Days turned into weeks, and after a particular 18-day period, the scammer decided to strike. They swiftly removed the liquidity, walking away with a staggering haul of 28.7 ETH. This cunning strategy proved to be their modus operandi as they replicated the same formula with other meme coins, namely $KSI, $ZUCK, and $BILL, amassing an additional 140 ETH in the process.
Undeterred by their previous exploits, the scammer continued their devious spree. This time, they unleashed two new meme coins, aptly named WALTER2.0 and GIGA2.0. Sensing an opportunity, they injected 2 Ethereum into the liquidity pool, ready to pounce on unsuspecting victims.
However, it is crucial to note that the liquidity for WALTER2.0 and GIGA2.0 has not yet been removed. As a word of caution, potential investors are urged to refrain from purchasing these tokens to avoid falling victim to this elaborate scam. It is imperative to remain vigilant and exercise utmost caution when engaging in the world of cryptocurrency investments.
The scammer’s ability to exploit the booming meme coin trend highlights the pressing need for enhanced security measures within the crypto ecosystem. However, this incident serves as a stark reminder that, despite the allure of quick gains, it is crucial to exercise due diligence and be aware of the potential risks associated with emerging trends in the crypto space.
Related Reading | Gemini Files Lawsuit Against DCG & Barry Silbert; DCG Denies Allegations