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SBF Meme Coins’ Wild Ride: Pumping 300x, Then Plummeting in Wake of Sentencing

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  • Memes like “Sam Baseman Fraud” and “Som Bonkmon Fraud” highlight how quickly the cryptocurrency community reacted to the statement of the FTX founder.
  • With the ability to show both large losses and quick profits, these meme coins emphasize the erratic nature of digital assets.

Following FTX founder Sam Bankman-Fried’s 25-year prison sentence, the cryptocurrency market saw a flurry of activity that highlighted the erratic and frequently irrational character of digital assets.

In an unexpected turn of events prior to the sentencing, Sam Bankman-Fried’s legal team had previously suggested a significantly lighter sentence of 6.5 years or less for his involvement in the FTX fraud case, according to previous reports from ETHNews.

Because of the sentence, meme coins were made and quickly became popular. This was a turning point in the history of the crypto business and showed how quickly people could react to big news stories.

A New Wave of Meme Coins

Before Bankman Fried’s sentence hearing started in the early hours of the morning, an unidentified cryptocurrency enthusiast started “Sam Baseman Fraud” on the Ethereum scaling network Base. By early afternoon, the token had risen astronomically—nearly 35,000%—to just over a cent, but minutes later, it crashed hard.

Despite this, the coin has managed to maintain a market value of $400,000, albeit with declining liquidity as the novelty wears off, with a stunning trading volume of nearly $3.4 million today alone.

Solana’s Response with “Som Bonkmon Fraud”

Concurrently, the development of “Som Bonkmon Fraud” (SBF), a token that similarly rode the wave of Bankman-Fried’s legal troubles, mirrored this pattern in the Solana ecosystem. This token, which pokes fun at the BONK meme coin and the convoluted history of Solana and SBF, increased in value by 15,000% before taking a severe tumble.

Source: X

Still, it garnered an astounding $24 million in trading activity in a single day, and its market capitalization is $675,000.

The Double-edged Sword

These incidents demonstrate the Bitcoin market’s meme currencies’ dual nature. They provide serious risks in addition to providing a platform for quick money advantages and community involvement.

The occurrence of “rug pulls,” in which token creators suddenly remove liquidity, leaving investors with worthless tokens, serves as a sobering reminder of how speculative these assets are.

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Syofri is an active forex and crypto trader who has been diligently writing the latest news related to the digital asset sector for the past six years. He enjoys maintaining a balance between investing, playing music, and observing how the world evolves. Business Email: [email protected] Phone: +49 160 92211628