Safemoon is a digital asset that is down 96.5% from its all-time high following allegations made by Coffeezilla, the company behind it filed for bankruptcy on July 22 and has since been acquired by another company.
Safemoon’s price dropped more than 45 percent in just 24 hours and is currently down more than 96 percent from its all-time high. This price cut came immediately after Coffeezilla published additional fraud claims against the creator and CEO of SafeMoon.
The most recent video showed a huge token holder (known as a whale) selling four billion Safemoon tokens for over $2 million.
The Safemoon community had for the past week and a half rejected the claim and disputed that the wallets involved in the scam were personal wallets that belonged to Safemoon CEO John Karony, according to a post on Reddit.
The Safemoon community thought the in and out transactions, including depositing and withdrawing tokens from liquidity pools and Bitmart payments, were harmless.
The message provided URLs to two BSC Scan wallets displaying the wallets involved in the scam and their transactions.
On bscscan.com, one of the claimed Safemoon wallet transactions.
When both wallet transactions are added together, the total comes to about $2 million.
The second transaction of the claimed Safemoon wallet on bscscan.com.
Coffeezilla was also warned of another pump-and-dump operation led by former Safemoon employee Ben Phillips, according to the Reddit thread. John Karony has reportedly spent $300,000 for the tokens to be changed as part of this plan.
The article also touched on a hot dog-related NFT project, with Karony claiming it was the only project he liked on Twitter. One of the wallets featured in Coffezilla’s films is said to contain an NFT of that project. This seems to link John Karony to the stolen wallets.
However, the Safemoon community is not convinced, according to the Reddit thread, and sees the scenario as “fud” and a good chance to collect extra cash.
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