• Bald coin, a newly launched memecoin, dropped 97.5% within hours of launch due to possible rug pull by developers.
• Several traders called the incident the “Bald Rug Pull” scam and suggested that it might have been initiated by a Coinbase insider or Brian Armstrong himself.
• On-chain data analysis platform Lookonchain noted that four addresses spent $1,000 to buy 50 million BALD tokens, then sold them for $1.04 million in profit.
Introduction
Bald coin, a newly launched memecoin, dropped 97.5% within hours of launch due to possible rug pull by developers. Several traders called the incident the “Bald Rug Pull” scam and suggested that it might have been initiated by a Coinbase insider or Brian Armstrong himself.
Price Rally & Profits
The BALD crypto token started trading on LeetSwap on June 29 at a price of 0.000002 ETH before rallying 4.34 million percent within fifteen hours to trade at 0.0867 ETH on July 30. The price then started rallying again on July 31, rising by 106% to reach its all-time high of 9 cents on July 31 before plummeting nearly 98%. On-chain data analysis platform Lookonchain noted that four addresses spent $1,000 to buy 50 million BALD tokens, then sold them for $1.04 million in profit in just one day. Another user with the handle @cheatcoiner said they bought 2% of the supply and made massive profits as well.
Suspicions Of Insider Trading
Crypto investor Axel Bitblaze had earlier posted a thread on X alleging possible insider trading by Coinbase in the BALD scam noting that an influential whale with significant holding of cbETH (Coinbase’s version of staked ETH) introduced the coin which led to speculations that it may have been initiated by an insider at Coinbase or even Brian Armstrong himself . Bitblaze also highlighted that substantial liquidity of the BALD token further suggested institutional backing which has lead some people venture into proposing its involvement with Brian Armstrong himself .
Speculations Of A Scam Or Honeypot
Axel Bitblaze suggested that the project might either be a ‘ honeypot ‘ or a ‘ rug pull ‘ scam leading users posting on X to term it as such too . Such users often hype projects when they are profitable and sell off when prices start dropping creating huge losses for other users who invest without doing proper research beforehand .
Conclusion
The sudden nosedive in price has left many traders reeling from losses while some made huge profits over night leaving questions about possible scams around this new token unanswered . However , investigations are still underway as more information related to Bald Coin comes out in public domain .
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