Hayden Davis Dumps Millions of MELANIA (MELANIA) Tokens Ahead of Market Collapse

Hayden Davis, previously linked to the manipulation of several celebrity-backed meme tokens, has been actively offloading large holdings of MELANIA (MELANIA), even as the token faces severe downward pressure.

Hayden Davis, previously linked to the manipulation of several celebrity-backed meme tokens, has been actively offloading large holdings of MELANIA (MELANIA), even as the token faces severe downward pressure and liquidity dries up, Cryptopolitan reports.

On-chain data reveals that wallets tied to Davis have liquidated over $2 million worth of MELANIA in recent weeks. The selloffs have contributed to sharp price declines and illiquidity across major trading venues.

Davis, a known early investor in MELANIA, has not faced sanctions despite past scrutiny over his involvement in the LIBRA token collapse.

The selloff comes as MELANIA has plummeted from a peak of $13.73 to lows of $0.63, wiping out billions in notional value. More than 246,000 holders remain exposed, many unable to exit due to drying liquidity and market instability.

Community funds quietly rerouted into sell-side pressureFurther investigation has revealed that MELANIA's official community wallet—meant to fund outreach and engagement—was used to provide one-sided liquidity in decentralized pools, enabling over $2.5 million in value extraction.

Though not direct sales, the maneuver drained SOL from the pools, contributing to the price collapse. Three of the four pools have since stalled due to imbalanced liquidity.

Davis was also noted to be engaging in leveraged trading on centralized exchanges Kraken and MEXC, as well as Solana's Kamino lending platform, to amplify his selloffs and use tokens as collateral. His firm, Kelsier Finance, remains active, with affiliated wallets still holding over $9.4 million in assets.

Transfers to Coinbase and activity via the Jupiter aggregator suggest that Davis may be continuing his exit operations.

Despite the magnitude of the selloff, no regulatory action or exchange enforcement has been taken against Davis or his firm. As early whales continue to exit and retail investors shoulder the brunt of the losses, the market for MELANIA continues to deteriorate.

The broader crypto market downturn has hit most cryptocurrencies.