Suspicious Insider Trading Operation on This Meme Coin: Hit 1 Million Dollar! - Coin Bulletin

According to data shared by Lookonchain, an insider made a profit of $989.6K in less than 2 hours on the $DIDDY token released by Diddy as the markets rose.

Manipulation in cryptocurrency markets and insider trading allegations have come to the forefront once again. The blockchain data analysis platform Lookonchain shared a suspicious transaction related to the token named $DIDDY launched by the famous musician Diddy on its social media account. According to allegations, in this event that occurred while the markets were generally rising, an insider made nearly 1 million dollars in profit in less than 2 hours.

Lookonchain's analysis shows that the individual in question created a new wallet just one day before the transaction and had funded this wallet in advance. This person, believed to have insider information, spent $349.9 thousand to purchase $DIDDY tokens and then sold the tokens for $1.4 million, netting a profit of $989.6 thousand.

Suspicion of insider trading

Such sudden rises and insider trading allegations are among the frequently encountered situations in the cryptocurrency ecosystem that attract the attention of regulatory authorities. Particularly with tokens associated with famous names, attempts by individuals with prior knowledge before the launch to gain unfair profits have increased in recent years.

This suspicious transaction involving the $DIDDY token parallels the news we saw earlier. As we recall, our previous news highlighted a report published by Solidus Labs, revealing that 98.6% of the tokens on the Solana blockchain were involved in rug pulls or manipulative schemes.