Solana Memecoin Presale Scandal: 12 Projects Abandoned, Raising Alarm Over Dubious Fundraising

Twelve Solana meme coins raised $26.7 million through presales, a controversial fundraising method. Over the past month, these coins have been abandoned by their founders, resulting in significant losses for investors. The most notable project, "I like this coin" (LIKE), raised $7.9 million but has since lost over 99% of its value. The second-largest project, MOONKE, also experienced a similar decline after its launch.

Solana Memecoin Presale Controversy: Twelve Projects Abandoned, Raising Questions About Fundraising Practices

Introduction

The recent surge in popularity of memecoins, particularly on the Solana blockchain, has been accompanied by a concerning trend: the abandonment of projects after raising substantial funds through presales. According to blockchain sleuth ZachXBT, over a dozen Solana memecoins have been abandoned in the past month alone, leaving investors with significant losses.

Presale Fundraising: A Contentious Practice

Presales, a method of raising capital before a token launch, have become increasingly common in the cryptocurrency industry. In a presale, investors purchase tokens at a discounted price, typically with the expectation of significant returns after the token's public launch. However, presales have also raised concerns about potential scams and the lack of regulatory oversight.

Abandoned Solana Memecoins

ZachXBT's analysis revealed that twelve Solana memecoins raised a combined $26.7 million through presales before being abandoned. These projects include LIKE, MOONKE, and others with humorous names that have attracted a large following on social media.

Case Study: LIKE

The most notable abandoned project is LIKE, which raised 52,220 SOL tokens, currently valued at $7.9 million. The token's value plummeted by over 90% within hours of its launch, and the project's anonymous founder, pokeee.eth, has disappeared.

Other Abandoned Projects

MOONKE, launched by RockyXBT, followed a similar trajectory to LIKE, with its price dropping by over 99% in a matter of hours. Another project, which raised 4,567 SOL, never even launched its token.

Lack of Response from Founders

Attempts to contact the founders of these abandoned projects have been unsuccessful, raising further suspicion about their intentions. The lack of communication and accountability has left investors feeling betrayed.

Comparison to ICO Boom

The Solana memecoin presale phenomenon has drawn comparisons to the initial coin offering (ICO) boom of 2017. During that period, numerous cryptocurrency projects raised millions of dollars but ultimately failed to deliver on their promises.

Slerf: A Unique Case

One notable exception to the abandonment trend is Slerf, a memecoin whose developer accidentally burned the entire presale allocation. The project has since gained a cult following and rallied to a market cap peak of approximately $750 million.

Conclusion

The abandonment of twelve Solana memecoins after presales highlights the risks associated with this fundraising method. Investors are urged to exercise caution and conduct thorough research before investing in such projects. The lack of regulation and accountability in the cryptocurrency industry makes it essential for investors to protect their funds and be aware of the potential for scams.