DefiTuna Exposes Massive Market Manipulation on Solana Involving Kelsier and Ben Chow
Moty, founder of DefiTuna, has revealed a widespread market manipulation scheme involving investor Kelsier and memecoin launch platform M3M3. After uncovering Kelsier’s shady practices, DefiTuna immediately refunded the $30,000 invested by him and cut all ties. According to Moty, Kelsier, with the complicity of Meteora co-founder Ben Chow, orchestrated rigged memecoin launches, enabling them to extract over $200 million from investors.
Well-Executed Manipulation
Screenshots shared by Moty expose the inner workings of this scheme: Kelsier asked DefiTuna to manage project liquidity on M3M3, while Ben Chow prohibited any activity outside of Meteora. Conversations reveal explicit intentions to maximize profits at the expense of investors, as seen in the plummeting values of the MATES and AIAI tokens since their market debut, both down 95%.
The Melania Token Scandal
The launch of the Melania token was a stark example of this manipulation. One hour before its listing, Kelsier provided DefiTuna with the token’s address, promising promotion through former President Donald Trump. Kelsier then transferred 1% of the token’s total supply, valued at $100 million, with instructions to anonymously sell the entire portion through Meteora NFTs to evade on-chain tracing. Facing this demand, DefiTuna chose to return the funds, refusing to participate in the scam and confronting the Meteora founder in a recorded call.
Ben Chow’s Resignation and Independent Investigation
Under the pressure of these revelations, Ben Chow resigned from Meteora. Meow, co-founder of Jupiter and Meteora, announced the launch of an independent investigation conducted by Fenwick & West, while defending Chow’s integrity. However, Chow admitted to introducing Kelsier to several projects, including the Melania token, fueling criticism of his management.
Reactions and Calls for Ethics in the Crypto Ecosystem
This scandal has sent shockwaves through the crypto community, reigniting debates on ethics and transparency. Even Alon, founder of Pump.fun, urged witnesses to come forward, emphasizing the urgency to restore trust in token launches on Solana.
As the crypto market is already sluggish, SOL has been hit particularly hard by these recent scandals and revelations, dropping below $170.
