Wolf (WOLF), a new meme coin created by Hayden Davies, the founder of the controversial Libra (LIBRA), is making waves again. The Solana chain token, which piggybacked on the IP of “The Wolf of Wall Street”, saw its market value soar to $42.9 million after it went online on March 8, but it plummeted 99% within 48 hours, leaving a market value of only $570,000. Blockchain analysis platform Bubblemaps revealed that 82% of the WOLF token supply is controlled by the same entity, which is exactly the same as the Libra token previously managed by Davies before the collapse.
On-chain data shows that Davies transferred funds to 17 wallets through the “OxcEAe” address controlled by him several months in advance, and these wallets eventually became early holders of WOLF tokens. This pattern replicates the collapse trajectory of Libra (LIBRA) – earlier this year, eight internal wallets cashed out $107 million from the Libra liquidity pool, causing $4 billion in market value to evaporate instantly, and even implicated Argentine President Milley in an impeachment crisis. At present, Interpol has considered issuing a red warrant for Davies at the request of Argentine lawyers, accusing him of possibly using crypto assets to abscond.
The WOLF collapse once again exposed the systemic risks of the meme coin market. Anastasija Plotnikova, CEO of blockchain compliance agency Fideum, pointed out that meme coins have now been transformed into “retail investor wealth harvesters,” and the internal transactions and market manipulation of projects such as Libra have completely subverted the concept of decentralization. Data shows that Davies’ team implemented the same arbitrage model through a series of tokens including MELANIA, Libra (LIBRA), and HOOD, each time retaining more than 80% of the token supply for market manipulation.
Regulatory pressure is intensifying. New York State lawmakers have proposed a criminal bill specifically targeting crypto fraud, which would classify “virtual token fraud” as a felony. The political earthquake caused by the collapse of Libra (LIBRA) has not yet subsided – the President of Argentina is under judicial investigation for publicly endorsing the token, becoming the first head of state to face impeachment due to cryptocurrency.
Analysts warn that investors need to be wary of “packaged scams” typified by Libra (LIBRA): such projects are often disguised as celebrity IP or political endorsements, but in fact they are harvested through sophisticated on-chain layouts. As operators like Davies continue to commit crimes across chains, it has become imperative to establish cross-border regulatory collaboration and on-chain tracking systems.
