A new Solana-based memecoin launched today and is becoming the talk of the town, and whales have taken notice. However, the reasons for this may differ from what everyone expects.
Since its launch, Slerf (SLERF), the latest Solana-based project, has been popular for all the wrong reasons. The project successfully raised $10 million during its pre-sale and most of the token supply was accidentally burned.
Millions will be lost when Solana Memecoin is launched
Just a few hours ago, Slerf’s creator and presale investors were full of excitement and anticipation as the token’s launch approached. Everything seemed normal as the project’s X account announced it had successfully burned SLERF worth $10.8 million.
For context, the project’s website states that the “slerfnomics” include a total offering yet to be determined, with 50% of the tokens to be sent to the Liquidity Pool (LP) and 50% for the presale participant’s airdrop. Additionally, the tokens in the LP would be burned at launch and ownership would be revoked.
The project's "slerfnomics". Source: Slerft.wtf
However, investors seemed confused about the amount burned and where the airdrop tokens would come from. Before realizing his mistake, the creator explained that the airdrop to the presale participants had not occurred before the fire because “it was the safest way.”
The community quickly realized that something had gone wrong, as it seemed the project team had run out of tokens for the airdrop. The creator realized the mistake shortly afterwards and announced it to X while apologizing.
“Guys, I screwed up. I burned the LP and tokens that were set aside for the airdrop,” said the after read. He further explained that the error was a “simple mindless misclick” while burning the LP.
It was further explained that after the first attempt to burn the tokens failed, the creator checked the Sol incinerator and could not see the LP tokens. As a result, he decided to clean the wallet of the ‘shitcoins’ that were sent there. This action accidentally burned the supply of the presale token alongside the other tokens.
The mistake proved irreversible, as the mint authority had already been revoked. Neither the creator nor the developers had access to the burned tokens or could create new tokens for the presale participants.
From sloths to whales: millions made in 12 minutes
Whales took the opportunity to profit big from this Solana-based memecoin drama, as reported by Lookonchain.
The blockchain research platform revealed that a whale wallet with over $32 million in SOL spent $606,000 (3,024 SOL) to purchase 1.7 million SLERF. This wallet had never purchased tokens before and the newly acquired SLERF was worth $1.5 million in unrealized profits a few hours ago.
Incredible!????
This guy made ~$3.02 million trading in just 12 minutes $SLERF!
He spent 9,894 $SOL($1.98 million) to buy 69.74 million $SLERF immediately after opening trading.
Then sold for 25,001 $SOL($5 million) in 12 minutes.
Make 15,107 $SOL($3.02 million) in just 12 minutes!… pic.twitter.com/KyKkefVdKj
— Lookonchain (@lookonchain) March 18, 2024
Another whale wallet spent 9,894 SOL (worth $1.98 million) to buy almost 70 million SLERF immediately after the opening of trading. In 12 minutes, the trader sold the memecoin for 25,001 SOL (worth about $5 million) and made more than $3 million in profit.
However, these transactions caused alarm among the presale investor and the community. Doubts that “accidental token burning” is much more than a mistake are high, as the replies to the post suggest. Many users believe that these moves come from “insiders” and not from “lucky people.”
– you have purchased 100 sol $slerf presale
– it’s midnight and you have to get into the pay cage on Monday morning so you can go to bed
– you wake up and casually check how the launch went
– you see it’s 1 billion, and think to yourself.. holy shit, I must be 7 figs higher
– you will find out… pic.twitter.com/QhqrrSu4sG
— ponzisaur (@ponzisaur) March 18, 2024
The Slerf Maker guaranteed it was an honest mistake during an X Space session. He also stated that his main concern was to set things right for those who saw their investment disappear.
Additionally, he promised to find a way to refund pre-sale participants. At the time of writing, Slerf is live on X Space and is asking the community for suggestions on how to pay back.
The SLERF rose to $1.24 after the launch, more than 43.4% in an hour. The price of the token has fallen by over 52% and was trading at $0.59 at the time of writing.
SOL is trading a $206.92. Source: SOLUSDT on TradingView.com
Featured image from Unsplash.com, chart from TradingView.com
Disclaimer: The article is for educational purposes only. It does not represent NewsBTC’s views on buying, selling or holding investments and of course investing involves risks. You are advised to conduct your own research before making any investment decisions. Use the information on this website entirely at your own risk.