Moderators of the popular trading subreddit r/WallStreetBets have dumped most of their WSB Coin (WSB), a token project claiming to be the official memecoin of Wall Street Bets.
On May 2, WSB was launched by those involved in moderating the WallStreetBets Reddit forum. The subreddit gained notoriety for the GameStop short squeeze that caused hedge funds to capitulate in January 2021. The creator of the WSB token claims that no tok ens will be distributed to the team and 10% of the tokens will be reserved for the subreddit. The site writes:
“This is the fairest launch memecoin, no team distribution, no presale. Just free airdrops and some coins from the community. 10% of the $WSB supply is reserved as a treasury for r/wallstreetbets subs to spend as they please.” However , just a few days later, a team member of the token started dumping a large amount of tokens. On May 4, on-chain sleuth ZachXBT tweeted that “zjz.eth,” which runs a moderation bot for the subreddit, is allegedly bad for WSB investors. On-chain data shows that zjz.eth has sold WSB coins for 334 Ether, worth about $635,000 at the time of writing.
The Price of the Token Fell Sharply after the Sell-Office, Falling from An All-Time High of $ 0.00067279 to an all-time low 0.00004827 in two days. Community M Ember are warning people not to build on dips, as moderators Still Get 10 % of the total supply. Meanwhile, another WSBmod moderator threatened to report those involved in the dump to the police and the FBI if they didn't make contact. The moderator urged zjz.eth to refund the money.
