MELANIA Token Has Once Again Sparked Controversy After Reports Revealed That Insiders Made $100 Million in Profits Minutes Before Melania Trump's Endorsement Post.

The MELANIA token has once again sparked controversy after reports revealed that insiders made $100 million in profits minutes before Melania Trump's endorsement post.

Melania Trump's social media post announcing her support for the MELANIA token has sparked controversy after reports revealed that insiders made $100 million in profits minutes before the announcement.

This move has raised questions about the timing and fairness of the token's release, with many speculating that key players had prior knowledge of the upcoming announcement.

Insider Profits Raise Questions on Market Manipulation

The details were covered by the Financial Times, and it revealed that insiders made $99.6 million from the token in the hours leading up to its launch. The report showed about 24 addresses that spent $2.55 million on 16.77 million tokens in a period of two and a half minutes.

This huge activity sparked a 'trading frenzy,' which allowed the price of MELANIA to increase drastically. A large portion of the addresses sold off their tokens quickly, generating significant profits.

Out of the total sales, about 80.5% occurred within 12 hours of the token's launch. One particular address is highlighted by the report, showing an investment of $681,000 to buy the token 64 seconds before the announcement and a return of $39 million within 12 hours after the announcement, plus an additional $4.4 million after three days.

This level of profit within such a short time frame has raised suspicions of insider trading. However, the SEC stated that memecoins are considered collectibles rather than securities, which implies that traditional rules that govern securities don’t apply to insider trading.

Since March 16, the MELANIA token team has moved more than 41.675 million tokens from community and liquidity wallets, selling them on exchanges and adding their own liquidity.

The majority of the funds were either changed to USDC or withdrawn. Despite the ongoing sales and questions raised by members of the crypto community, the token team has not released any public statements regarding the matter.