Cashcat, a memecoin that has been one of the most talked-about altcoins in recent days and has seen a sharp rise since the launch of Robinhood Chain, is now facing allegations of “insider trading.”
The allegations center around an anonymous address that purchased 16.3 million CASHCAT for 1.6 ETH shortly after the token’s launch.
According to Lookonchain, a cryptocurrency analysis platform, an address starting with “0xae0F” initially acquired 16.3 million CASHCAT by spending 1.6 Ethereum (worth $3,000) when it was first launched. Following the massive price surge, it sold all 16.3 million CASHCAT for 1.527 ETH ($2.855 million), making a profit of $2.85 million.
This means CASHCAT has achieved a 952x return.
At this point, the fact that this investor bought CASHCAT at what could be called a bottom and sold their holdings at what could be considered a top led to the emergence of “insider” allegations for memecoin.
However, there is no official confirmation so far that the investor used insider information.
CASHCAT, which recently rose above $0.22, has fallen to around $0.11 following the latest sell-off. With a drop of over 35% in just the last 24 hours, CASHCAT is currently trading at $0.128.
