LookOnChain, a blockchain data analysis firm, disclosed that someone associated with the Doraemon deployer sold 2.5 million DORAE tokens for 10,538 Solana tokens, amounting to $1.45 million. The perpetrator received 304 SOL from KuCoin and another wallet, using these proceeds to purchase the 2.5 million DORAE tokens.
Subsequently, all the acquired DORAE tokens were dumped for SOL within a span of six hours. Interestingly, the deployer wallet later transferred 215.7 million DORAE tokens to another wallet. These actions triggered a 99% price collapse for Doraemon, with evidence strongly implicating the project’s developer.
“Based on on-chain analysis, it’s evident that the wallet responsible for dumping 2.5M DORAE tokens is linked to the DORAE deployer,” stated LookOnChain.
Following the rug pull, Doraemon’s fully diluted valuation (FDV) and market capitalization plummeted to just $140, as reported by DEXScreener data. This incident underscores the extreme volatility and risks inherent in nascent cryptocurrency ventures.
Rug pulls pose a significant threat in the cryptocurrency market, particularly within decentralized finance (DeFi). This fraudulent scheme involves developers suddenly withdrawing liquidity from a project, resulting in severe losses for investors. Such scams typically exploit developer access to liquidity pools or smart contracts, draining funds and leaving investors disillusioned.
The aftermath often leaves investors feeling betrayed and powerless as they witness their investments vanish. These deceptive practices undermine trust in the crypto market and underscore the critical importance of conducting thorough due diligence.
The Doraemon incident reflects a recurring pattern where prominent figures face scrutiny for endorsing questionable projects. Recently, singer-songwriter Jason Derulo came under fire for promoting a meme coin that plummeted 72% in minutes, sparking accusations of scams.
