GROK Memecoin Faces 40% Drop As Expert Exposes Scammer’s Involvement
Grok token (GROK), inspired by That of Elon Musk The artificial intelligence service via X (formerly Twitter) has recently come under scrutiny following explosive market capitalization growth.
According to recent data reportsGrok reached a staggering market cap of $160 million in just eight days after its release.. However, reports of allegations involvement in a scam have overshadowed the token’s rapid rise.
GROK’s meteoric rise tainted by accusations of scammers
Grok token prices have skyrocketed, doubling in the last 24 hours alone, extending a week-long rally that saw an astonishing 13,000% increase. The token has an impressive 11,000 holders and has seen a trading volume of over $60 million in the last 24 hours, according to data from DEXTools.
However, ZachXBT, a self-proclaimed crypto detective, has raised concerns on the legitimacy of Grok, claiming that the token was created by a scammer. ZachXBT said the same X/Twitter account associated with Grok has been linked to at least one other fraudulent scheme. ZachXBT said:
Not that people in this space care, but GROKERC20 GROK was created by a scammer. The same X/Twitter account was reused for at least one other scam. X/Twitter ID: 1690060301465714692
Satoshi Flipper, another prominent cryptocurrency trader on X, echoed this sentiment, calling Grok an “effing scam” and emphasizing that Elon Musk did not authorize the launch of the token. Satoshi Flipper said:
It’s Grok. Liquidity of $1.9 million and a market capitalization of $137 million? What a fucking scam. Additionally, it is completely fraudulent to trade this knowing that Elon Musk, the owner of Grok, has not authorized these developers to launch a token. Imagine touching this toxic waste.
Experts from Arkham Intelligence also spoke: report that an on-chain trader sold a significant amount of GROK with a slippage of almost 40%, reinforcing the scam allegations made by ZachXBT.
The controversy surrounding Grok has raised concerns within the cryptocurrency community. Critics say the token’s market cap, coupled with Elon Musk’s lack of authorization, raises red flags.
Impressive turnaround
The token market capitalization has undergone a retracement, now at $108 million, down from its previous value of $160 million. Additionally, the token features a liquidity of $1.83 million.
Despite a significant slippage of 48%, with its price drop as low as $0.0056000, the token has recovered remarkably and is now trading at $0.0108452.
It remains unclear whether further reports will be released to shed light on the individuals behind the creation of the token and their goals, potentially exposing the risk of a takeover within the cryptocurrency industry.
However, despite these claims, the token has attracted considerable attention and enthusiasm from investors eager to participate in the potential rise of the next major coin, with the aim of realizing substantial gains on their investments. At the time of writing, Grok’s official X account has not made any statement regarding these allegations.
Featured image from Shutterstock, chart from TradingView.com
