Alon, the founder of Pump.fun, is raising his voice and calling for some serious safety measures after the LIBRA memecoin went belly-up, costing $4 billion. It’s too late?
Billions
In a post on X, Alon didn’t hold back, and expressed his disgust over what he described as an insider scam surrounding the LIBRA launch.
This token was even endorsed by Argentina’s President Javier Milei, talk about a high-profile endorsement gone wrong.
Launched on February 15, LIBRA quickly turned into a financial horror story when over $107 million was drained from its liquidity pool in mere hours.
Just six hours after its debut, the market cap plummeted by $4.4 billion.
The system is working as intended?
Alon is now pushing for new guardrails on token launchpads to help protect users from such chaotic events.
He believes these platforms should prioritize user education on how to create coins safely and ethically.
He’s all about making the onboarding process smoother for newbies and suggests that platforms should hide tokens that show shady trading patterns or ownership structures. After all, no one wants to be left holding the bag on a dodgy investment.
Ben Chow, co-founder of Meteora, has stepped down amid this chaos. His resignation was announced by fellow co-founder Meow, who hinted at some lack of judgment on Chow’s part regarding key project aspects.
Hi, I’m meow from Jupiter, and I also cofounded Meteora.
Firstly, I’d like to reiterate my confidence that no one at Jupiter or Meteora committed any insider trading or financial wrongdoing, or received any tokens inappropriately.
Secondly, we are hiring an independent 3rd…
— meow (🐱, 🐐) (@weremeow) February 18, 2025
But don’t go pointing fingers just yet! Meow defended both Meteora and Jupiter, claiming no one from their teams was involved in any shady dealings related to LIBRA.
Insider informations?
Chow himself took to X to assure everyone that neither he nor his team had any insider knowledge or received tokens improperly. He emphasized that only a select few at Meteora have access to sensitive launch information.
In light of this mess, Meow announced that they’d be hiring Fenwick and West law firm to dig into the situation and provide an independent report.
Ironically, this firm is currently under scrutiny for its past ties with FTX. It seems like the crypto industry is in need of some serious house cleaning.
