A pivotal figure affiliated with WSB Coin (WSB), linked to the WallStreetBets subreddit on Reddit, divested a substantial quantity of tokens designated for the team. Consequently, the altcoin‘s price precipitously declined.
Altcoin’s Price Plummets Over 90 Percent
The WSB Coin community commenced the day in a heightened state of vigilance. The trepidation emanated from blockchain data revealing that zjz.eth, responsible for overseeing the moderation bots of the WallStreetBets subreddit on Reddit, liquidated extensive volumes of WSB Coin through the decentralized cryptocurrency exchange Uniswap in merely a few hours. According to information furnished by CoinMarketCap, WSB Coin’s price experienced a nearly 90 percent nosedive in the hour succeeding the sale.
The initial cautionary notice regarding the token sale emerged from a Twitter user named Ice Bagz. Subsequent to this alert, blockchain expert ZachXBT asserted that zjz.eth disposed of a considerable portion of the token supply allocated to the WSB Coin team, amounting to 635 thousand dollars (334 ETH). Analysts at Peckshield, a cryptocurrency security firm, also disclosed that zjz.eth sold 8,312 ETH within another wallet that transferred a significant sum of WSB Coin.
In an additional tweet, ZachXBT alleged that a WSB Coin official named OIP facilitated transaction authorization by serving as a secondary co-signer on a multi-signature wallet.
The WSB Coin Community Awaits Explanations
Another prominent figure in the project, known as WSBMod, recently orchestrated an impromptu Twitter Spaces session to address the community’s apprehensions. Over 8,000 individuals participated in the Twitter Spaces, as the official endeavored to communicate with zjz.eth for elucidation, but to no avail.
WSBMod later tweeted to zjz.eth, stating, “Should you fail to contact me within 4 hours, I will report you to the police and the FBI. I cannot fathom your motives. If justification exists, you must speak; however, I am uncertain how that is feasible. You possess the capacity to reimburse the funds.”
Inaugurated on May 2, WSB Coin proclaimed itself the unofficial meme coin of r/wallstreetbets on Reddit. At the time, WSBMod announced that 10 percent of the token supply was earmarked for WallStreetBets and 5 percent for moderators/authorities.
