The founder of the new cryptocurrency faced a very traumatic experience. The value of the newly launched memecoin Rizz (RIZZ) dropped by up to 90 percent while the founder was presenting the project on social media platform X.
Suddenly the new meme cipher became very volatile during live broadcasts
Launched on June 18 on the Solana (SOL) network, Rizz initially caught the attention of crypto enthusiasts. However, euphoria soon gave way to disappointment when the price of the cryptocurrency collapsed dramatically during the live session on X.
X Space features many prominent figures in the cryptocurrency community, including Nicholas Vaiman, CEO of Bubblemaps. Faymann asked critical questions about so-called “bubbles.” These are groups that show disproportionate holdings in a small number of currency accounts, data that can be viewed via the blockchain.
This was a wild space
Founder $rez He was promoting live when we saw huge combos on his bubble map
We asked about it and the price suddenly dropped by 90%, leaving everyone dumbfounded
Here’s what happened 🧵 ↓ pic.twitter.com/URSraFIqF4
– Bubble Maps (@bubblemaps) June 21, 2024
The Rizz team admitted to controlling more than 80 percent of the total token supply, raising questions about the decentralization and fair distribution of the project. After Faiman’s questions, the price of RIZZ suddenly began to fall sharply.
Rizz’s founder, known as “Rick,” reacted noticeably with shock to the sudden drop in the stock price. Fayman described the situation this way: “When the price collapsed, the Rizz founder looked emotional, and I felt uncomfortable asking questions. At one point I thought he might be crying.
Behind the scenes of the memecoin launch
The main reason for the sharp decline in prices was the early…Snipers‘. These are traders who were able to acquire large amounts of tokens in the first minutes after the launch. This phenomenon is not unusual in memecoin launches and can lead to extreme price fluctuations, especially when negative facts emerge as in this case.
Rumors are circulating that Rick may not be Reese’s actual leader. Fayman groups conversation With Cointelegraph reporting that a group of developers from Singapore, known for creating and “mining” meme coins, could be the real driving force behind the project.
Meme cryptocurrencies like dogecoin (DOGE), shiba inu (SHIB), and PEPE (PEPE) are known to be volatile. This category of cryptocurrencies is therefore viewed as the riskiest category among many investors. The Meme crypto, which is majority owned, poses the biggest risk here.
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