A contraceptive on-chain investigation by a pseudonymous analyst linked Kanye West-themed token Yzy into another wallet behind the Libra token, suggesting that the same operator used insider knowledge to extract millions of dollars.
In a series of X posts on Thursday, the evacuation revealed that Yzy Sniper wallets bought $250,000 worth of tokens for just $0.20, far below the price most traders paid. Within minutes, the wallet secured more than $1 million in profits, which was later poured into the Treasury wallet.
The same Treasury wallet also received a large sum from the wallet linked to the release of Libra six months ago. Two “Libra Sniper” wallets extracted a total of $21 million. In total, nearly $23 million was withdrawn across the Yzy and Libra launches, and funds were later moved to Kamino or Binance.
“I can be sure this is someone with clear inside information,” writes Dethective. “The evidence is that he didn’t snipe the coins other than $yzy and $libra, and he was prepared in a huge size,” they added.
Related: The creator of Libra Token fights class suits citing lack of jurisdiction
Nansen, Cyber checks connection
Onchain Analytics platform Nansen and blockchain security company Cyvers have also seen duplicates between Yzy Sniper Wallet and wallets linked to the Libra Extraction Network.
“The Yzy-fire sniper wallet overlaps with the Libra extraction flow wallet,” Cyvers told Cointelegraph. “It points to the same actor (or closely coordinated group) being involved in both events,” they added.
Meanwhile, Nansen pointed out that he is not sure it is connected to Hayden Davis, the controversial figure behind the Libra token. “It’s also always open to debate what insider information is and whether it’s actually insider trading.”
Nansen added that Nasem, the infamous sniper who won millions on official Trump (Trump) memo coins, was also one of the earliest people to buy Yzy using a wallet that previously benefited by Trump. Naseem claimed that early detection of liquidity pools has advantages, but questions remain as to whether this is a sharper deal in the ongoing “crime season” or part of a broader pattern.
Related: Judge freezes $57 million with stablecoins linked to Libra token scandal
Kanye West’s Yzy tokens are surged to $3 billion
On Thursday, Ye launched his Yzy token in Solana. This surged to a market capitalization of $3 billion within 40 minutes, then fell to about $1.05 billion.
At the time of writing, Yzy had fallen by more than 60% in the past day. According to CoinMarketCap data, the token reached an all-time high of $3.16 about 11 hours ago.
West has announced the X token, calling it part of a “new economy built on a new economy” with the intention of fueling fuel within the “Yzy Money” system.
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