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The bizarre stories of token over-issuance during the meme coin craze: the cases of $BEN and $PSYOP

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The bizarre stories of token over-issuance during the meme coin craze: the cases of $BEN and $PSYOP

In the recent meme coin craze, the inexplicable surge in value has created opportunities for all kinds of quirky coins, even giving rise to bizarre coin launches similar to IKO (Initial Kol Offering). Coins like $BEN and $PSYOP were born in such favorable circumstances, and retail investors seem unfazed by the controversies surrounding the coin issuers, as long as there is a chance for it to rise in value.

It All Started with the Meme Coin Craze

Following the recent rise of meme coins like PEPE and WOJAK, Ben.eth, with over 10,000 Twitter followers, began frequently recommending related meme coins.

Ben.eth Launches $BEN Token

Perhaps under the cover of the meme frenzy, any newly issued ERC20 token could attract attention. Ben.eth decided to launch its own token "BEN" in early May.

After BEN was listed on DEX on May 5, it surged by up to 17,177%, but then plummeted by -86%.

However, the bizarre story was far from over. A highly controversial influencer, Bitboy Ben Armstrong, who was rated as one of the top 10 worst KOLs by online detective ZachXBT, started tweeting in support of the BEN token and eventually took over this meme coin.

Bitboy Takes Over $BEN

On May 9, he announced that he had joined the BEN team, giving BEN a new meaning: "Be Everywhere Now."

Subsequently, on May 12, Bitboy made a major announcement that he would officially take over the token. Ben.eth would transfer all $BEN liquidity to him within a week, with Ben.eth staying on as an advisor in the team.

$BEN once again saw an increase.

Ben.eth Launches New Token $PSYOP, Raises $7 Million

Immediately after parting ways with $BEN, Ben.eth announced the issuance of a new token, which has since been deleted tweet:

You all saw my dedication to $BEN, now it's time for $PSYOP. I plan to continue opening the presale funding address. If it gets too out of control, I will close it. I hope to be as fair as possible, deleting the tweet means the presale is over.

Community data recorded by wale.swoosh showed that Ben.eth raised over a million dollars within an hour, ultimately receiving 3,792 ETH, approximately $6.93 million at the time.

Although the amount may not be an astronomical figure, it is close to what Florida Governor and U.S. presidential candidate Ron DeSantis recently raised, which was $8.2 million. What's even stranger is that people seem unconcerned that Ben.eth has just abandoned his first project to the controversial Bitboy, as long as it might go up.

Blindly Entering $BEN, $PSYOP, Is Everyone Making Money?

$BEN

As of now, it has dropped by 31.94% from its peak, with a potential increase of 16,724% for those who entered on the listing day.

$PSYOP

Since its peak on the 23rd, it has dropped by about 34%, but for early investors, PSYOP currently has an increase of approximately 191%.

But are things progressing so smoothly, with everyone making money?

BEN, PSYOP

Many in the crypto community are surprised by the performance of speculators and these two tokens. The peculiar issuance method similar to IKO Initial Kol Offering, projects labeled as Rugpulls and scams, surprisingly attracted gamblers. This highlights the need for regulation in the cryptocurrency space.

The community pointed out the suspicious and contradictory actions of the two influencers:

1. Bitboy promised to hold $BEN for six months but sold the tokens after six days

Online detective ZachXBT retweeted the news of Bitboy selling the tokens despite his earlier commitment to holding them. The community commented that Bitboy was a clown, sarcastically stating:

It's like they say in the crypto world, one day in crypto is like a year in real life. Bitboy held the tokens for six years before selling, which is not bad.

2. Ben.eth controlled 90% of the circulating supply of $PSYOP at one point

3. Law firm demands the return of user funding, threatening collective lawsuit against Ben.eth, psyopeth source

Earlier, the crypto community atozy had exposed how Bitboy was promoting junk tokens for a fee, manipulating the market through followers, and then dumping. This led to Bitboy suing atozy, and well-known KOL Cobie even donated 100,000 USDC for legal fees.

Bitboy is surrounded by controversies, yet has over a million Twitter followers, almost three times more than BitMEX founder Arthur Hayes. Perhaps most followers are there for the entertainment, but it also somewhat confirms that a scammer can deceive for as long as there are fools to deceive.