- Investigations connect MELANIA & LIBRA launches to a $100 million pump-and-dump scheme.
- A key wallet funneled LIBRA launch profits using tactics from the MELANIA meme coin.
- Jupiter DEX denies insider involvement but admits prior knowledge of LIBRA coin.
A comprehensive investigation report by blockchain data provider Bubblemaps, in collaboration with YouTuber Coffeezilla, has disclosed compelling evidence linking the teams behind the MELANIA and LIBRA token launches. The investigation also revealed a pattern of coordinated pump-and-dump schemes that netted over $100 million in profits.
The investigation traced wallet address P5tb4, which earned $2.4 million from MELANIA’s launch. They also sent profits to wallet 0xcEA through the USDC Cross-Chain Transfer Protocol. Later, the wallet 0xcEA was funding DEfcyK, the creator of LIBRA, who extracted $87 million from the token’s launch.
The on-chain analysis showed 0xcEA sniped their own LIBRA launch through multiple side addresses, profiting an additional $6 million using similar tactics employed during the MELANIA launch. The wallet’s activity extends beyond these two tokens, with connections to other short-lived projects including $TRUST, $KACY, $VIBES, and $HOOD.
As MELANIA approaches its first token unlock period, concerns grow about potential market impact. According to analyst EmberCN, 30 million MELANIA tokens (3% of total supply) worth approximately $39 million will unlock between February 19-20. The unlocking schedule continues with 2.25% monthly releases over the next 12 months, totaling 30% of supply within 13 months.
Jupiter’s response to LIBRA controversy
Jupiter has issued a detailed statement addressing their involvement in the LIBRA launch. The DEX has acknowledged that some team members knew about a potential token project associated with Argentinian President Javier Milei approximately two weeks before launch. However, they maintain that no team member received LIBRA tokens or knew specific launch details.
The platform emphasized its commitment to transparency while detailing its verification process. According to Jupiter, LIBRA received verification only after public confirmation and achieved $1.5 billion in market capitalization, primarily to protect users from numerous imposter tokens.
Related: Milei’s LIBRA Token Faces Pump-and-Dump Allegations
The LIBRA launch resulted in substantial losses for many traders, with transaction history revealing 24 traders losing over $1 million each. The largest single loss amounted to $5.17 million, where one trader spent $5.6 million acquiring 2.1 million tokens only to sell them for $430,000. In total, 61 traders lost more than $500,000 each during the event.
