TRUMP Token Whale Linked to Kanye's YZY Launch: Insider Trading?
TRUMP Whale Suspected of Insider Trading in Kanye West's YZY Token Launch
Blockchain analytics firm Bubblemaps has identified a prominent trader, known as "Naseem," as the first investor in Kanye West's YZY token. This individual previously generated significant profits from the TRUMP token, raising concerns about potential insider trading.
Naseem's early investment in YZY, following a highly profitable venture with the TRUMP token, has sparked speculation about unfair advantages. Is it skill, or is it privileged access?
Early Access and Suspicious Timing
Bubblemaps data indicates that Naseem was the first to acquire YZY tokens. He previously turned a $1 million investment in TRUMP into over $100 million. His quick entry into the YZY token raises questions, especially given claims of an "anti-sniping system" in the smart contract.
Naseem reportedly invested $250,000 in USDC to obtain nearly $1.2 million worth of YZY shortly after launch, bypassing the supposed anti-sniping measures. This has intensified scrutiny regarding how he managed to be first in line for YZY and other major meme coin launches, like TRUMP and LIBRA.
Bubblemaps openly questioned how the same trader repeatedly manages to be first in line for major meme coin launches. Is it pure skill, or does he know something more?
Market Volatility and Whale Dominance
The YZY token, launched on the Solana blockchain on August 21, experienced significant volatility. It initially surged to a market capitalization of over $3 billion before plummeting by more than 70%.
Concentrated Ownership and Potential Losses for Retail Investors
On-chain data reveals that a small number of wallets control a large portion of the YZY supply. Here's what the data indicates:
- The top six wallets hold over 90% of the YZY supply.
- Naseem and other early buyers have reportedly earned around $800,000 in profits while still holding $600,000 in YZY.
- Some retail wallets have suffered substantial losses, with one losing $1.8 million.
Nansen data suggests 13 wallets locked in $24.5 million in gains before distributing.
TradingView data shows that YZY MONEY (YZY) has fallen by 7.33% in the last 24 hours. This brought its total losses this week to 73%. This further shows Insiders are cashing in on investments and raises worries about their level of control over the project.
The circumstances surrounding TRUMP and YZY share similarities, with a small group of traders securing substantial early profits while smaller investors face significant market fluctuations. Bubblemaps suggests the overlap in Naseem's wallets between TRUMP and YZY is not accidental.