Summary
A teenage boy created and released three memecoins, earning over $50,000 by selling his holdings before the price crashed (“soft rug pull”).
The backlash was swift, with the boy and his family doxed and facing threats from angry traders.
While the legality of such actions is unclear, the incident highlights the risks and ethical dilemmas in the unregulated memecoin market.
It’s never been regulated in the first place.
Well, it was not as regulated as e.g. the stock market, but regulation of cryptocurrency was there and improving - with all the benefits and drawbacks.
In the very early days there were no KYC and AML policies at all.
Taking back the little regulation that has been introduced in the last few years doesn’t improve customer protection.