NEIRO on Ethereum Faces Insider Trading Scandal: 78% of Tokens Pre-Allocated
A new meme coin, NEIRO, has emerged, but concerns have already been raised by experts regarding its operations. Bubblemaps, a blockchain data platform, has identified notable insider trading activities associated with NEIRO on the Ethereum blockchain.
NEIRO, a meme coin on Ethereum, seems to be predominantly influenced by a specific group of insiders. During the token’s initial release, 78% of the total supply was swiftly obtained by 80 addresses, with each address acquiring approximately 1% of the overall supply due to a holding limit. Bubblemaps revealed that these addresses then methodically distributed the tokens among 400 different wallets to evade detection and minimize the impact of their sales, seldom disposing of more than $3,000 worth of tokens at once.
This strategic dispersal of the token has complicated the accurate calculation of their realized profits. Despite this challenge, Bubblemaps estimates that the insiders have sold roughly 11.7% of their holdings, resulting in around $4.5 million in revenue, while still maintaining control over 66% of the token supply.
NEIRO is rooted in Kabosu, the pet dog that inspired the original meme coin, Dogecoin (DOGE). The NEIRO website describes it as “The sister of the OG DOGE, Kabosu, here to make history on the Ethereum chain!” The introduction of Kabosu’s owner’s new Shiba Inu pet, “Neiro,” on a particular platform sparked the creation of several NEIRO tokens on Solana, aiming to replicate DOGE’s success.
Despite the owner of Neiro, known as “Kabosumama,” distancing themselves from the subsequent meme coins, NEIRO on Ethereum has quietly garnered community attention. Within less than a week of its launch, the token’s price on Ethereum surged to $0.20 before stabilizing around $0.16 at the time of this report. According to CoinMarketCap, NEIRO has swiftly become one of the top 20 most valuable meme coins, with a substantial trading volume exceeding $35 million in the past 24 hours.
