Barstool Sports activities founder Dave Portnoy launched a meme coin referred to as $GREED as we speak from his official pockets.
Nevertheless, he offered his whole place an hour later, inflicting the token’s worth to crash by greater than 90%.
A Social Experiment
In a February 19 post on X, the founder criticized the meme coin area, stating:
“The whole ecosystem is Greed and nothing else. Go dump on one another peasants however don’t complain to me when you lose cash. You might be all grasping. Not less than admit it.”
He then launched $GREED presenting it as a social experiment and a mirrored image of the true nature of the sector. In line with blockchain analytics agency Lookonchain, Portnoy issued the token and bought 357.92 million items, representing 35.79% of the full provide. Its market capitalization shortly surged to $30 million.
Regardless of initially claiming he wouldn’t promote anytime quickly, the 47-year-old offloaded his whole place inside an hour in a single transaction, inflicting $GREED’s worth to plummet by 99% to beneath $3 million.
Lookonchain reported that he profited roughly $258,000 from the meme coin. Shortly after, Portnoy launched one other token, GREED2. He at present holds 268.25 million of them, making up 26.8% of the full provide.
In a closing twist, the media mogul returned to X, stating that he had solely promised to not promote one coin, referring to the Solana meme token Stool Prisondente (JAILSTOOL). He emphasised that he was free to promote all the things else and had warned individuals to not purchase.
Portnoy first revealed his buy of 57.16 million JAILSTOOL tokens on February 9. Shortly after, he offered your complete stack, exchanging it for roughly 586 SOL. Nevertheless, he shortly purchased again much more, spending over 1,000 SOL to accumulate simply over 23 million cash.
Following an preliminary spike and dip, JAILSTOOL’s market cap surged previous $100 million because the entrepreneur fueled its viral enchantment. The coin’s worth greater than doubled, reaching an all-time excessive of almost $218 million.
Presently, the meme cryptocurrency is buying and selling across the $0.0158 stage, a 19.1% drop within the final 24 hours. It has suffered a extra marked loss over seven days, shaving an enormous 77.3% off its worth.
Meme Token Controversy
The social media persona’s transfer with GREED comes amid a raging scandal within the meme coin area, particularly surrounding the LIBRA token.
The asset, promoted by Argentine President Javier Milei, noticed its market cap shortly attain $4.4 billion earlier than plummeting massively. Its collapse fueled reports of insider buying and selling and market manipulation with some allegedly cashing out over $100 million.
Pump.enjoyable founder Alen Cohen criticized LIBRA’s launch, arguing that meme coin creation needs to be decentralized and free from developer or market maker management to make sure equity. He warned that the scenario uncovered flaws within the crypto sector, highlighting how dangerous actors exploit traders.
In the meantime, Meteora co-founder Ben Chow has resigned amid allegations of economic misconduct linked to the scenario.
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