The team behind MELANIA, the official meme coin tribute to Melania Trump, has withdrawn $1 million worth of tokens from Meteora liquidity pools on the Solana blockchain, as reported by blockchain analytics firm Arkham.
This action follows a pattern of activity that has raised eyebrows among investors and sparked debates about the team’s intentions.
According to Arkham’s analysis, the Melania team has removed $1M of MELANIA tokens from the liquidity pool and sent it on to a new wallet.
MELANIA TEAM MOVING $1MMELANIAThe MELANIA Team just removed $1M of MELANIA from Meteora liquidity pools and sent it on to a new wallet. Previously, when they have done this, they have sold MELANIA via Jupiter DCA, then deposited the SOL to MEXC.https://t.co/sW9m88I8qZ pic.twitter.com/J0gNEukOga
— Arkham (@ArkhamCapital) April 29, 2024
Historically, such withdrawals have been followed by sales through Jupiter, a decentralized exchange aggregator on Solana. The proceeds, converted to SOL (Solana’s native token), were then deposited into the MEXC exchange, suggesting a strategy of profit-taking or liquidity management.
Just a day prior, on April 28, blockchain transaction tracker Lookonchain reported that the Melania team sold $1.5M worth of MELANIA tokens using the same DCA method, further fueling speculation of more sales to come.
The MELANIA token, which is a digital collectible to express support for values associated with Melania, is currently trading at $0.4292 and has a market cap of $235.96 million, according to CoinMarketCap data from April 29. This news has sparked a decent downtrend in MELANIA token price with it declining over 3.35% in the past 24 hours.
Meteora, the platform from which the tokens were withdrawn, is known for its innovative liquidity solutions, such as Dynamic AMM Pools which allow for efficient capital utilization and diversified holdings.
However, the Melania Team’s repeated withdrawals have led to concerns about transparency and trust in the meme coin. While some users defend the move as a legitimate profit-taking strategy – “Taking profits has never bankrupted anyone,” one commented – others worry about the implications for retail investors.
