A Cryptocurrency Trader Managed to Turn $5,100 Into Nearly $700,000 in Just 2 Days Trading a Little-Known Cryptocurrency

The VISTA token was launched by Ethervista, a token launch platform looking to combat rug pulling scams by locking creator liquidity for a period of five days.

A cryptocurrency trader has managed to turn around $5,100 into nearly $700,000 in just two days — all by trading a little-known cryptocurrency associated with a platform for token launches that’s referred to as Ethereum’s answer to Pump.fun.

According to on-chain analysis service Lookonchain, a cryptocurrency trader with the handle frenulum.eth has managed to make a 134x return on the cryptocurrency, $VISTA, after spending 2.05 ETH — valued at a little over $5,000 at the time — to buy 52,822 VISTA tokens.

In just two days, the trader saw the value of these tokens skyrocket and then sold them for 276.5 ETH — valued at nearly $700,000 at the time.

frenulum.eth earned 274 $ETH($696.7K) by trading $VISTA in just 2 days, a 134x return!

frenulum.eth spent only 2.05 $ETH($5.1K) to buy 52,822 $VISTA and sold for 276.5 $ETH($701.8K).

$VISTA was launched by @ethervista(described as the PumpFun of ETH).https://t.co/fpilXtFph8 pic.twitter.com/9uXJVMCyHh

The VISTA token was launched by Ethervista, a token launch platform that appears to be aiming to combat rug pulling scams by locking creator liquidity for a period of five days.

Rug pulls are a type of cryptocurrency scam that sees bad actors pull liquidity out of decentralized finance platforms shortly after tokens are launched, leaving other investors with tokens they can’t sell because of a lack of liquidity.

Often, this happens when insiders hold a large share of the total supply — a common practice in projects looking to fund their operations through the launch — and then immediately dump their tokens on investors.

As we reported earlier, a cryptocurrency trader has managed to make around $300,000 in a single month by shorting MakerDAO’s MKR token, having borrowed 500 MKR from popular decentralized finance (DeFi) protocol Aave on July 19, to then sell the tokens for $1.37 million.

The trader, according to on-chain analysis service Lookonchain, then spent a little over $1.07 million in the popular stablecoin USDC to buy back the MKR they needed to repay their debt at a lower price, effectively closing their short position on the cryptocurrency.

Featured image via Pixabay.