this post was submitted on 07 Dec 2024
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Unsurprisingly, he and his family were doxed by angry traders.

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[โ€“] alphabethunter@lemmy.world 9 points 2 weeks ago* (last edited 2 weeks ago) (1 children)

Let me tell you why this isn't fraud:

  1. Teens makes a memecoin on a legit crypto platform (as legit as they can get)

  2. Teens buys X amount of his own memecoin for 350 bidens

  3. People that like to invest on memecoins (aka idiots/gamblers) bought into the coin

  4. Coin value goes up

  5. Teen sees that the X amount of coins he has is now worth 30k

  6. He sells it on a legit trading platform, cashes in on 30k

  7. Because he sold a huge amount at once, market is flooded, coin goes down in value

  8. The other gamblers that were looking into doing the exact same shit got mad at him

I'm not saying crypto isn't a scam, as memecoins are textbook pyramid schemes (buy in early for low, sell as soon as it's worth it cashing in on the idiots who bought late), but the way this works can't be defined as fraud because it's simply how the whole stock market works.