The Solana-based memecoin “Sol” (CAT) experienced a significant crash after being linked to a recent hack involving the X account of crypto investor Gigantic Cassocked-Rebirth (GCR). Crypto investigator ZachXBT revealed that the CAT team allegedly sniped their own launch and engaged in a pump-and-dump scheme using the hacked GCRClassic account.
Insiders reportedly used 1,370 SOL to purchase 632 million CAT tokens, representing 63.2% of the total supply. They then dumped $5 million worth of CAT and deposited profits to exchanges KuCoin and MEXC. To conceal their activities, the insiders moved funds to the decentralized exchange Hyperliquid and opened long positions in ORDI.
The hacked GCRClassic account promoted ORDI, leading to a price surge that allowed the insiders to secure profits before the hack was confirmed. Despite this, the hackers continued their activities, posting about ETHFI and opening long positions worth $1 million in ETHFI on Hyperliquid.
As a result of these allegations, CAT’s value plummeted by over 76% in the last 24 hours. This incident sheds light on the increasing trend of scammers targeting memecoins and the vulnerability of the crypto community to fraud.
In related news, Gala Games recently recovered $22 million in Ether (ETH) from a hacker. This story serves as a cautionary tale for investors and highlights the importance of due diligence in the crypto space.
