Original author: Frank, PANews
The RUG routine of MEME coin is changing, and a new type of bundled insider trading technique is becoming more and more common.
On July 31, Bubblemaps revealed that $NEIRO tokens issued on Ethereum had a large number of internal rat warehouses, with about 78% of the tokens being allocated in advance and then transferred to more than 400 wallet addresses. Even with the exposure, the price of NEIRO tokens continued to rise under the severe FOMO sentiment, with a market value of over $170 million. Based on the market value of $170 million on August 1, NEIROs rat warehouse share will be as high as $130 million, which is the largest rat warehouse among MEME coins.
Funds are used to buy 70% of tokens in batches from the mixer
NEIRO is the name of the rescue dog recently adopted by the owner of Kabosu, the deceased Shiba Inu internet celebrity who was the prototype of Dogecoin. Once it was made public, this name became the new favorite of MEME. People tried to replicate the miracle of Dogecoin. Multiple tokens with the same name were issued at the same time on public chains such as Ethereum and Solana. As of August 1, NEIRO on Ethereum seems to have become the new Dog King, with a market value of up to 160 million US dollars. But behind this high market value is a full of routine boosts and a crisis of more than 70% of rat warehouses.
After analyzing the suspected insider trading addresses of NEIRO tokens, PANews found that these addresses appear to have no connection. In fact, tracing the source of funds of these addresses revealed that the initial funds of these addresses all came from a mixer address marked as Cointool, and the funds were transferred in at 22:13 on July 27 (UTC time), and the amount transferred was basically around 0.05 Ethereum.
Then, at 22:30 on July 27, within less than a minute of NEIRO’s issuance, these addresses simultaneously purchased about $100 of NEIRO (the purchase amount of each address is different as the market value changes due to the purchase). Such a large number of small-amount purchases in a short period of time also made NEIRO tokens quickly stand out on the Ethereum new token rankings. Subsequently, some robots that specialize in sniping new coins and market-making arbitrage robots began to enter the market, quickly covering these insider trading behaviors.
However, PANews tracked the Cointool mixing platform and found that the functions of this platform include batch wallet generation, batch transfer and batch automatic purchase. Developers can easily use these functions to disguise as dozens of purchase addresses and buy at the same time. Taking the address 0x 525 F 78 D 35 De 309 f 0 f 53311 C 5 A 69370597 AC 86 A 26 as an example, it cost about $100 to purchase 9.997 million NEIRO tokens, which are currently worth about $1.5 million, with a return rate of about 14,925 times. The tokens were then divided into two transfers to two addresses. As of August 1, the NEIRO tokens in most addresses have not been sold. On the one hand, it may be to avoid attention (after all, the current holding of 0.5% is also close to $750,000). On the other hand, the operators have not yet transferred Ethereum tokens to these split addresses to pay for the transaction gas. 
Many Japanese KOLs support
Of course, the advantages of using a mixer to hide insider trading are not limited to this. In the subsequent publicity, the project team also used the address number advantage brought by these insider trading as the main promotion point on social media. The third official Twitter post reads: Our good girl $NEIRO has exceeded 500 holders, with a trading volume of nearly 4 million US dollars and is currently popular on @DEXToolsApp.
A token with a market value of $160 million is not simply achieved by relying on a mixer. In addition to insider trading, NEIRO also received support from a large number of KOLs, especially Japanese ones.
With the help of KOLs with tens to hundreds of thousands of followers, such as @apipiro 22, @mikky_ 8080, @yukimaru_potty, @BrotherMKT, @KookCapitalLLC, and @OfficialTravlad, the price of NEIRO has also risen and has been successfully listed on exchanges such as MEXC, XT, Poloniex, and LBank.
Interestingly, after Bubblemaps exposed the insider trading of NEIRO tokens, several KOLs who called out the above orders also appeared in the comment section of Bubblemaps, hitting back at Bubblemaps and saying that the team’s control of the tokens was a bullish signal.
No one cares about insider trading, so pulling up the market is the only way to go?
In fact, after the insider trading incident was exposed, the price of NEIRO tokens was not greatly affected, but rose all the way from a market value of 70 million to 170 million US dollars. According to the latest statistics from Bubblemaps, insiders still hold about 66% of the tokens, with a value of more than 100 million US dollars.
Image source: Bubblemaps
The teams total initial expenditure was approximately $10,000, and the overall profit was more than 10,000 times.
However, as the address was exposed, the shipment of the insider trading seems to have become a big problem. The operator is currently gradually shipping by dispersing more wallets or transferring to centralized exchanges. It is just unknown how much of NEIROs market value will be left after these 66% of tokens are sold?
The bundled insider trading of NEIRO is not new. On July 24, blogger @plonkbot said that almost half of the issuance of Pump.fun on Solana chain has this kind of bundling behavior. And after observation by PANews, it can be seen that the token trading on Pump.fun has indeed been occupied by a large number of robots. If you open a newly issued token at random, you will find that there are a large number of robots trading. For ordinary retail investors who cannot effectively use robot tools, MEME no longer seems to be a friendly place to dig for gold.
