Pseudonymous onchain analyst Dethective has uncovered a coordinated insider trading scheme involving wallets that extracted nearly $23 million from the launches of YZY (Kanye West's token) and LIBRA. The analysis, supported by blockchain analytics firms Nansen and Cyvers, reveals that the same actor or group was involved in both events.
Key findings indicate the YZY sniper wallet purchased $250,000 worth of tokens at $0.20 each - well below the price paid by most traders - and realized over $1 million in profit within minutes. This same treasury wallet had previously received funds from two "sniper" wallets that extracted $21 million during LIBRA's debut six months earlier.
Dethective stated: "We can be sure this is someone with clear inside info. The proof is he did not snipe any coin besides $YZY and $LIBRA and he was prepared with huge size." Funds were routed through Kamino and Binance, suggesting profit realization strategies.
YZY, launched on Solana by Kanye West (Ye), reached a $3 billion market cap within 40 minutes before falling to around $1.05 billion. At publication, YZY traded near $1, down more than 60% from its $3.16 peak earlier in the day.
The event highlights potential weaknesses in token launch protocols and may prompt regulatory scrutiny from agencies like the SEC. No official commentary has been provided by the affected projects yet.
