Crypto Investors Lose Over $500 Million to Memecoin Scams in 2024
In 2024, over $500 million was lost to memecoin rug pulls and scams, according to Merkle Science.
- The primary method of scams involved social engineering, exploiting impersonation techniques.
- French footballer Kylian Mbappe's X account was compromised, promoting a memecoin that reached a $460 million market cap before being rug pulled.
- A fake WIZ token targeting Wiz Khalifa’s 35.7 million X followers rose to $3.4 million before crashing to zero.
- 75% of attacks occurred on X, while 19% were on YouTube.
- 44% of social engineering scams resulted in rug pulls, with phishing attacks also accounting for 44% of all scams.
Robert Whitaker from Merkle Science emphasized the coordinated nature of these scams, highlighting their impact on market manipulation through celebrity credibility.