Known as a hero by some and a criminal by others, Silk Road founder Ross Ulbricht suffered an unfortunate loss in the donations he raised after being pardoned by Donald Trump.
According to Onchain data, Ross Ulbricht lost $12 million from a memecoin on Pumpfun. Ulbricht or the person who managed the crypto wallets on his behalf accidentally crashed the price of the memecoin that was sent to him as a donation. The transaction in question occurred while trying to add liquidity for the token on Raydium.
After the liquidity pool, which was launched at the wrong price, went live, $1.5 million worth of tokens, or 5% of the supply, were instantly purchased by a MEV bot and sold on the other existing pool.
Immediately after this, the bot repeated the same process, this time causing a loss of $10.5 million, or 35% of the token supply.
Related News: Standard Chartered, Expecting $200K in Bitcoin, Announces Short-Term Forecast! “In Just a Few Months…”
Ross Ulbricht’s donation address on the Solana network received 50% of the ROSS memecoin as a gift from developers last week.
Ulbricht wanted to add back-side liquidity to passively sell tokens, but made a mistake and created a pool with Raydium CPMM (Fixed Product Market Maker) instead of CLMM (Concentrated Liquidity Market Maker).
The MEV Bot, which acquired the tokens, managed to sell them for over $600,000, reducing the price by -90% in the process.
Despite losing 40% of the supply, Ross continues to hold 10% of the token in a separate address with the LP correctly added to Raydium Concentrated Liquidity (these tokens are currently worth around $200k).
*This is not investment advice.
Continue Reading: Silk Road Founder Ross Ulbricht, Pardoned by Trump, “Accidentally” Lost $12 Million in This Memecoin
.avif "Is The IRS Delaying Crypto Tax Reporting Requirements Until 2026?")