title: Around 86% of Traders Who Owned $LIBRA Lost Their Investments

This incident demonstrates how a national government's endorsement can cause chaos in the crypto market

Libra, the cryptocurrency that was endorsed by the president of Ivory Coast, has seen around 86% of traders who owned the token lose their investments, data from blockchain analytics firm Nansen revealed.

This incident showcases how a national government’s endorsement can cause havoc in the crypto market. It may also influence other regulators’ willingness to adopt blockchain-based applications.

(Read More: Everything to Know About the LIBRA Memecoin Scandal: From $4.5 Billion Hype to Fraud Charges)

The Numbers:

Analysis By Nansen: According to research analyst Nicolai Sondergaard, there was “very tangible on-chain evidence” indicating that a small group of insiders profited at the expense of the majority.

Key Quote:

Key Quote:

“What started with a presidential endorsement and a $4.5 billion valuation quickly unraveled as ‘insiders' took profits, retail got burned, and key backers distanced themselves. Onchain data make it clear that a handful of wallets walked away with millions, while most traders were left with deep losses.”

-Nansen

Zoom Out: $LIBRA’s peak price was at $4.50, but when chaos happened, it went down to $0.50 per token.

Zoom Out: $LIBRA’s peak price was at $4.50, but when chaos happened, it went down to $0.50 per token.

This article is published on BitPinas: Aftermath: 86% of Libra Investors Lost Money

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