Degen Digest: February 19, 2025

The $LIBRA rugpull wiped out investors after insiders dumped at peak prices, exposing Meteora’s co-founder in an insider trading scandal. Meanwhile, OKX lists $PI and Binance considers it, signaling a potential shift in legitimacy.

stuart (스튜)

Feb 19, 2025

Contents

TL;DR The $LIBRA Scandal: A Timeline of Deception OKX Lists $PI, Binance Considers It Key Takeaways

TL;DR

$LIBRA Rugpull: Argentina’s memecoin $LIBRA surged to a $4.5B market cap on the back of presidential endorsement before insiders dumped, wiping out investors. Meteora’s co-founder resigned after onchain data exposed insider trading.

Market Fallout: The scandal shook investor confidence, causing $SOL and $JUP to drop significantly.

$PI Exchange Listings: OKX listed $PI, and Binance is considering it—a shock move that could legitimize the once-dismissed project.

Key Takeaway: Trust can vanish overnight, but strong community-backed tokens like $PI can defy expectations.

Welcome to this week's Degen Digest, where we analyze the latest trends and events shaping the crypto market. This edition covers the $LIBRA rug pull, its widespread market impact, and a surprising move by major exchanges regarding $PI.

The $LIBRA Scandal: A Timeline of Deception

On February 15, 2025, Argentina’s official meme coin, $LIBRA, launched with significant hype. The country’s president publicly endorsed the token on social media, claiming it would bolster Argentina’s economy and support small businesses. The market responded swiftly—$LIBRA’s price skyrocketed, reaching a $4.5 billion market cap at its peak.

However, just four days later, the token collapsed. Here’s how it unraveled:

Early insiders (snipers) began dumping their holdings, triggering a massive price drop.

The Argentinian president deleted his social media posts backing $LIBRA, effectively withdrawing his support.

The token plunged to $142 million, wiping out countless FOMO-driven degen investors who had bought in expecting a rally similar to $TRUMP’s legendary rise.

Onchain Analysis Uncovers Deeper Corruption

Blockchain sleuths at BubbleMaps exposed shocking revelations. Their investigation revealed that:

The same insiders profiting off $LIBRA were also involved in previous pump-and-dump schemes like $MELANIA and $HOOD.

KIP Protocol was identified as one of the key insider groups behind $LIBRA.

Meteora co-founder Ben Chow allegedly knew about $LIBRA’s contract address before launch. In fact, Meteora team members purchased test tokens ($LIBRA/$ARG) a day before the official launch, indicating potential insider trading.

These findings shattered market trust, leading to Ben Chow’s resignation from Meteora on February 18. Despite this, Solana ($SOL) and Jupiter ($JUP) suffered significant price declines, reflecting how deeply this scandal rocked investor sentiment.

While insider manipulation is not new in crypto, the involvement of high-profile figures from a well-known project like Meteora raises serious concerns. Can these projects ever regain community trust?

➡️ Related Read: How To Create a Crypto Trading Plan

OKX Lists $PI, Binance Considers It

Pi Network has long been a controversial project. Launched in 2019, it promised a mobile mining experience without expensive hardware. However, lack of a mainnet and exchange listings led to widespread skepticism.

That narrative changed on February 20, when OKX announced it would list $PI.

Key Developments:

HTX (formerly Huobi) had previously listed $PI, but its version was a non-tradeable placeholder token due to the lack of a functional mainnet.

OKX’s announcement surprised traders, as it signaled the project’s legitimacy was improving.

Binance launched a community vote on February 17, asking whether $PI should be listed.

The vote gained 3.4 million views in 17 hours, demonstrating $PI’s massive retail investor interest.

At the time of writing, the "Yes" vote is overwhelmingly dominant. If Binance follows through, $PI’s market cap—currently estimated at $4 billion based on circulating supply and community-set prices—could surge further.

➡️ Related Read: Crypto Market Sentiment Analysis: Tools and Techniques