Connect with us
Active Currencies 14916
Market Cap $2,467,377,167,640.60
Bitcoin Share 51.17%
24h Market Cap Change $-0.38

Roaring Kitty’s lawsuit casts shadow on THESE tokens – Here’s the full story

2min Read

Legal trouble for Roaring Kitty caused a downturn for ROAR, the memecoin associated with him.

Roaring kitty

Share this article

  • Roaring Kitty got sued causing memecoin associated with him, called ROAR to decline in price.
  • Overall interest in the CHEWY memecoin surged after Roaring Kitty’s recent online behavior.

Stock trader Keith Gill, who rose to prominence during the 2021 GameStop short squeeze, is currently facing allegations of securities fraud.

A class-action lawsuit filed in June 2024 accuses Gill of manipulating the stock price of GameStop through a series of social media posts made between May and June. These posts allegedly caused significant volatility in the stock’s price.

GameStop won’t stop

The filing details a calculated strategy. On May 12, 2024, Gill began accumulating GameStop call options on E*Trade at low prices, positioning himself to benefit from a potential price increase.

The very next day, he strategically ended a nearly three-year silence on Reddit, sparking renewed interest in the stock and propelling its price upwards.

Further fueling the fire, Gill publicly disclosed his significant holdings in GameStop on June 2nd, including a massive number of call options and shares.

This announcement, some argue, was a calculated move to inflate the stock price even further. Capitalizing on the surge, Gill exercised all his call options by June 13th, profiting handsomely.

He then reportedly used those profits to further increase his stake in the company by acquiring over 4 million more shares. It’s important to remember that these are just accusations in a lawsuit. Gill maintains his innocence and has not been found guilty of any wrongdoing.

Due to these factors, the price of ROAR, a memecoin associated with Roaring Kitty fell by 8%.

However, there were other coins that were impacted by Roaring Kitty’s behavior as well.

Rising suspicions

Recently in a Schedule 13G filing Gill revealed that as an individual investor, he owns 9,001,000 shares of Chewy’s Class A common stock. In the filing, to remove any misunderstandings, Gill clarifies that he is “not a cat.”

Source: SEC

Moreover, he also tweeted an image of an animated dog.

Due to this filing and tweet, hype around the meme token CHEWY also grew. This resulted in a surge in price for the token. Some market speculators believe that prior to tweeting this Roaring Kitty may have bought a chunk of the CHEWY memecoin.

Only time will tell what happens next with the tokens associated with this saga.

Source: X

 

Share

Himalay is a full-time journalist at AMBCrypto. A Computer Science graduate, Himalay writes about crypto with a special focus on the latest coin-based updates. He is a fan of gonzo journalism, transgressive fiction, heavy metal, and Manchester United.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.