Posted 2/1/2024, 2:00:00 PM
Over Half of New Ethereum Tokens Show Signs of Pump and Dump Scams, But Impact Remains Small
- 54% of new Ethereum tokens in 2023 saw trading activity suggestive of pump and dump schemes
- These scam tokens accounted for just 1.3% of DEX trading volume - limited in scope
- Anyone can easily create an ERC-20 token and artificially inflate trading - highlights permissionless nature
- One wallet launched 81 tokens, profiting over $800K through repeated wash trades
- Chainalysis data shows "potential shenanigans" that warrant more education around analyzing on-chain activity