The plot of the Trump-themed MEME coin DJT: the issuer 'self-destructed' and has a history of fraud, and the token fell by more than 60% within the day

PoliticalFi is the focus of this bull market. Recently, the MEME coin DJT became popular due to rumors of "the purest Trump concept coin", but then there were twists and turns in the plot. In the end, the mysterious trader Martin Shkreli had to reveal his identity during the bounty activity.

It is difficult to tell the truth from the false, using information asymmetry and public opinion to create influence

As a strong candidate for the US presidential election, Trump-related MEME tokens have become the object of market speculation, especially It is his use of cryptocurrency as a campaign strategy that drives the emotional value of investors.

On June 18, foreign media Pirate Wires tweeted, "There are rumors that Trump is launching the official token $DJT on Solana," but the media did not give the source of the information. A number of media outlets have also participated in DJT-related reports. For example, Fox Business stated in the report, "Although it is impossible to confirm the direct or indirect relationship between DJT tokens and Trump, people associated with the former president plan to sell them in at least two months." Pirate Wires reported that Trump’s son Barron was leading the project, citing unnamed sources, but its editor later clarified that he had “not spoken directly to Trump, specifically. Trump may beat around the bush and say it’s not true,” and said amid the community controversy that he would no longer report on related encryption news.

But Bo Loudon, a well-known Trump supporter, posted an article claiming that "DJT is the only real Trump coin" (now deleted), adding more credibility to DJT and multiple Trump series Tokens were also affected by this and fell collectively, with some investors even selling the leading token TRUMP worth millions. Looking at DJT, the market value of the token once exceeded the US$400 million mark.

In addition, the huge bet also adds more highlights to DJT. Martin Shkreli, the former president of Turing Pharmaceuticals, while suggesting that DJT was Trump’s official token and “calling for orders” for the token, made millions or even hundreds of millions of dollars in bets with multiple crypto KOLs, such as GCR Make a $100 million bet with Martin Shkreli on whether DJT launches for Trump. Who would have expected that this executive of a pharmaceutical giant would be the real manipulator.

While the community has doubts, the blockchain data company Bubblemaps issued an analysis saying that DJT is actually not related to Trump, and about 67% of the DJT supply Concentrated in one cluster, 43% of the total supply is located on Raydium, the Solana ecosystem’s automated market maker.

The on-chain detective ended up solving the case, and the issuer urgently blew himself up

In order to find the real behind-the-scenes leader of DJT, Arkham, the on-chain data analysis platform, also stated that Arkham Intelligence will provide evidence to anyone who can clearly prove Trump A bounty of US$150,000 is provided to users who are the issuers of DJT tokens on the Solana chain. Subsequently, on-chain detective ZachXBT stated on the platform that he had submitted a bounty application for DJT token issuer identity to Arkham.

##ZachXBT tweeted, “Martin Shkreli urgently messaged me privately after I announced that I would submit a bounty application for DJT token issuer information to Arkham, and then issued a temporary statement announcing that it was It’s so funny that it issued the token.” He also said, “Should we reveal Martin’s insider friend who recommended the purchase before Mike Solana/Pirate Wires posted?” In addition, some community members revealed that Martin Shkreli is DJT’s TG club. The first members of the group and the administrators are from Martin’s previous projects. Perhaps in order to reverse the passive situation, Martin Shkreli took the lead in revealing his identity at the Space event on X.

Martin Shkreli is the co-founder of the hedge fund MSMB Capital Management and the former CEO of Turing Pharmaceuticals. He became famous after making money by shorting many pharmaceutical companies in his teens. In 2018, Martin Shkreli was arrested by the FBI and sentenced to 7 years in prison for securities fraud and wire fraud. Because Martin Shkreli once wildly increased the price of a certain life-saving drug by more than 55 times, he was called "the most hated person in America" ​​by the BBC and was banned from entering the pharmaceutical industry for life. Trump also once evaluated Martin Shkreli as "a spoiled naughty boy, which is a disgrace."

图灵制药哄抬药价遭抗议 来源：美联社

And Martin Shkreli was released early in May 2022 Soon after, this "pharmaceutical guy" immediately switched to Web3. Martin Shkreli founded Web3 drug discovery startup Druglike and completed $3 million in financing. For this reason, the U.S. Federal Trade Commission (FTC) also took Martin Shkreli to court, but the latter stated that the company was not a pharmaceutical company. Martin Shkreli also operates in the crypto market. The token he launched, Martin Shkreli Inu (MSI), plummeted after a large number of tokens were sold. Now it has fallen by more than 96% from its highest point.

Martin Shkreli is also very active in the crypto field. In addition to sharing prison survival advice with the SBF, he also revealed that he holds some cryptocurrencies and NFTs such as Milady. Recently, he was also convicted of copying the American hip-hop music group Wu-tang, which was previously confiscated. Clan’s original album was sued by PleasrDAO, an encrypted art collection platform, and the album has now been sold as a $1 NFT.

DJT tokens plummeted, and insiders profited and exited

As the trader behind DJT was revealed, DJT tokens began to plummet. Dex Screener data shows that DJT fell by nearly 66.7% during the day, and its market value was only about one-third of its peak.

At the same time, many insiders profited and exited. According to Lookonchain monitoring, the third largest holder of DJT (possibly an insider) had spent 1,363 SOL (approximately ($188,000) purchased 52.09 million DJT, and the wallet earned approximately $1.04 million in SOL in just 2 days; another insider (insider trader) also spent only $9,400 and earned more than $1 million. Revenues increased 110 times; a major DJT owner, verso.sol, sold USD 832,000 worth of DJT tokens. This address is also a major holder of Martin's other project Shoggoth.

In contrast, many investors suffered heavy losses. Lookonchain monitoring revealed that a trader spent 2,500 SOL (approximately $342,100) to purchase 91,705.6 DJT on June 18, but only recovered 4.91 SOL ($673) when selling, and lost 34.14 in less than 1 minute. Thousands of dollars in damage to this user may have been caused by a sandwich attack.

"After I am released from prison, I will be richer than before." Martin Shkreli once said in prison. Where the money is, Martin Shkreli is there, and now it seems that the encryption field is becoming a profitable "new business opportunity" for Martin Shkreli after he is released from prison.

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