Solana trader raises insider trading alerts after turning $49K to $2M within 5 hours
- The investors spent 344 $SOL to buy the newly launched 261M TORI tokens.
- The trader distributed the TORI coins to several addresses immediately after completing the purchase.
- Meanwhile, his massive 4,000% profit in 5-hour trading attracted the attention of market players.
A digital assets trader within the Solana (SOL) blockchain caught the interest of market players. The investor made approximately 4,000% profits within 5 hours, triggering insider trading accusations.
Recent transactional data reveals that the trader spent 344 $SOL (worth approximately $49,000) to acquire the newly launched memecoin TORI.
Notably, the player had withdrawn the 344 SOL tokens from Binance in two withdrawals to two new wallets on 25 April and 26 April.
Meanwhile, the Solana ecosystem trader sent the TORI coins to different addresses after the purchase on 28 April.
The 261.4 million TORI tokens hit $2.5 million in valuation within five hours of trading, attracting insider trading allegations.
Some questioned how the trader’s confidence in TORI’s expected price surge, with multiple newly launched digital coins flooding the market daily.
The catch
Copy link to sectionDespite the staggering $2 million in returns, the investor could encounter withdrawal issues due to TORI’s liquidity.
The traders used SOL-based DEX Raydium to buy TORI. The decentralized exchange doesn’t fully recognize the memecoin, only identifying it through its mining address.
Moreover, the exchange has narrow liquidity for swaps (6,466.24 $SOL & 93.65M TORI) in its pool.
That makes it challenging to liquidate the $2 million without substantially affecting the asset’s price, possibly obliterating all the TORI gains.
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