Solana
Solana-based Zack Morris crypto [ZACK] explodes 200%, but should you be wary?
A new coin, initiated by infamous X user Zack Morris, surged over 200% in the last 24 hours.
- Twitter user Zack Morris launched a new coin that surged by more than 100% in the last 24 hours.
- Activity and volume on the Solana network also grew.
To cash in on the hype, Edward Constantinescu, who is known as Zack Morris on X (formerly Twitter), and the co-founder of Atlas Trading, recently launched a meme coin on the network, titled ZACK.
ZACK sees new heights
At press time, ZACK was trading at $0.04168 and its price had grown by 216.00% in the last 24 hours. But even though the token’s price had surged significantly, traders should be aware of Edward Constantinescu’s past.
Source: CoinMarketCap
Zack Morris crypto: Once bitten, twice shy
The sequence of events began on the 14th of December 2022, when the Securities and Exchange Commission (SEC) initiated legal action against Atlas Trading and Edward Constantinescu.
They were accused of defrauding investors to the tune of $100 million.
According to the SEC’s lawsuit against Atlas Trading, the two purportedly orchestrated a scheme involving the coordinated acquisition of shares, its promotion, and subsequent sale for significant profits.
During the COVID-19 pandemic and the GameStop meme stock frenzy from March 2020 to April 2021, Atlas Trading emerged as a prominent presence on Discord for traders.
Some argue that they played a pivotal role in the rise of the FinTwit phenomenon.
Edward Constantinescu became ubiquitous on X, promoting various penny stocks with his distinctive meme face, seemingly representing Atlas Trading.
The alleged modus operandi of the Atlas Trading scheme unfolded as follows.
Edward Constantinescu would acquire substantial stakes in a penny stock, then tout its potential meteoric rise on X.
Concurrently, anonymous users would hype up the stock on social media, declaring it was destined for great highs. Allegedly, these users also held positions in the company before the surge.
Once the stock was purportedly inflated, they allegedly offloaded their shares before their followers, reaping substantial profits in the process.
Due to these factors, the memecoin ZACK has met with some skepticism as well.
How will Solana be affected?
Despite the uncertainty of the usefulness of the Zack Morris crypto token, Solana continued to reap benefits.
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The surge in deployment of meme coins on Solana has had a positive impact on the network, as activity and number of transactions on the network have surged.
However, if too many rugpulls occur, the sentiment around the network can be affected negatively.
Source: Artemis
