Sued by SOLANA DEX Meteora for allegedly launching a pump-and-dump image gold

A well-known Solana-based DEX company called Meteora is accused of creating a$ 69 million rug pull in connection with the launch of the M3M3 meme coin.

The lawsuit, filed on behalf of defendants Rodrigo Ferreira Da Cruz Vogt, Rodrigo Ferreira Da Cruz, and others, alleges that Meteora and chairman Benjamin Chow collaborated to create a scheme to defraud traders using the Solana-based M3M3 gift.

According to the lawsuit, this allegedly caused the proposed class to lose at least$ 69 million.

According to lawyers for the plaintiffs, defendants secretly orchestrated the apparently public release of M3M3 on Meteora to restrict first sales to defendants and a tightly controlled cluster of insiders. &nbsp,

” Defendants ‘ goal was to covertly dominate M3M3 token supply, artificially increase its market value, and extract profit from unsuspecting investors,” the statement read.

The Meteora platform’s original gift bears the same brand as the M3M3 gift. &nbsp,

The MEME system was created to encourage users to stake tokens in an effort to alter the dynamics of meme coins, which frequently result in “race to dump” key prices as key holders leave their positions. &nbsp,

People can anticipate receiving a percentage of the investing fees Meteora generates upon holding. &nbsp,

He said, and she said.

The M3M3 gift was created by a “passionate group” of people who believed in the product’s potential, according to a website blog that published the app in December.

However, the lawsuit asserts often. &nbsp,

According to the lawsuit,” M3M3 was formally presented as a Meteora project.” In fact, M3M3 was a partnership between accused Kelsier, a venture capital firm run by the Davis accused ( a father and two children ),” the accused continued, noting that the accused had kept their presence a secret. &nbsp,

Further, the lawsuit claims that the defendants used 150 insider wallets to systematically “freeze” and” thaw” the launch pool of tokens and, in the end, gained secret control of around 95 % of the tokens within 20 minutes of the launch. &nbsp,

The lawsuit states that” the federal securities regulations are intended to inform investors of unknown dangers and protect them from scam.” Plaintiffs and other non-insider buyers would not have purchased M3M3 currencies at inflated prices or suffered the resulting loss if plaintiffs had adhered to the register and reporting requirements for M3M3.

Burwick Law and Hoppin Grinsell LPP are serving as the plaintiffs ‘ attorneys.

Burwick sued Meteora and Kelsier Ventures last month for their involvement in the LIBRA token launch, a meme coin scandal that shaken markets and politics in February. This led to Chow’s resignation from Meteora. Before its price crash, Argentine President Javier Milei promoted LIBRA.

Due to his alleged connection to the LIBRA scandal, an Argentine lawyer requested Interpol assist in the arrest of Hayden Davis, a named defendant in that suit, in March. &nbsp,

M3M3 is currently trading at$ 0.003, down more than 98 % from its all-time high of$ 0. 186 on December 12 despite a brief spike shortly after its launch. &nbsp,

Decrypt’s request for comment was not immediately responded to by Meteora, Kelsier, and Burwick Law representatives. &nbsp,

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