Why Is MemeCore Facing Scrutiny?
Onchain investigator ZachXBT has publicly challenged MemeCore to justify the valuation and supply distribution of its M token, raising concerns over insider concentration following a sharp price rally. The criticism centers on claims that a large portion of the token supply may be controlled by insiders, a factor that could distort market pricing and liquidity.
“Please provide a single data point to support your $6B mkt cap at a top 20 token and why insiders hold >90% of supply,” ZachXBT wrote in a response on X, directly questioning the project’s valuation metrics and ownership structure.
The remarks come as MemeCore promotes itself as a layer-1 blockchain for what it calls the “Meme 2.0 economy,” positioning the token within a broader narrative of next-generation speculative assets. However, the lack of transparent distribution data has drawn attention at a time when market participants are increasingly focused on token concentration risks.
What Do the Data Points Show?
Market data around the M token remains inconsistent across major trackers. CoinMarketCap ranked the asset No. 21 with a valuation of about $4.33 billion, while CoinGecko placed it at No. 20 with a valuation closer to $5.97 billion. The divergence highlights the challenges of tracking rapidly moving tokens with limited transparency.
Blockchain analytics platform Bubblemaps identified concentrated holdings among top wallets. One address, labeled “0x8b8,” was shown holding 50 million tokens worth approximately $178 million, while a Binance-linked deposit address appeared as the largest visible holder.
Despite the concentration, Bubblemaps analyst 0xToolman indicated that the pattern may reflect team-held allocations rather than coordinated trading activity, noting that some of the tokens may not yet be in circulation. This distinction is critical, as locked or undistributed tokens may not immediately impact market liquidity but still influence perceived supply dynamics.
Investor Takeaway
How Does This Connect to Broader Market Concerns?
The scrutiny around MemeCore follows closely on the collapse of the RAVE token, which dropped more than 80% after a rapid price surge. ZachXBT had previously accused RaveDAO of orchestrating a pump-and-dump scheme, citing concentrated holdings and unusual exchange flows.
RaveDAO denied involvement in the price movement, while major exchanges including Binance and Bitget confirmed they were reviewing trading activity. The token has since fallen more than 90% over the past week, reinforcing concerns about liquidity-driven price spikes and insider control.
ZachXBT linked the MemeCore case to a broader pattern, stating that several tokens have recently shown “manipulation” signals. “Other projects with highly questionable price action recently include: SIREN, MYX, COAI, M, PIPPIN, RIVER,” he wrote, adding that further investigation is underway.
Investor Takeaway
What Remains Unclear for MemeCore?
MemeCore has not publicly provided detailed data addressing the distribution of its token supply or the extent of insider holdings. Cointelegraph has contacted the project for comment, but no response has been reported.
While ZachXBT has not presented definitive onchain evidence confirming that insiders control more than 90% of supply, the allegations alone have increased attention on the token’s structure and trading behavior. In markets driven heavily by narrative and momentum, such scrutiny can quickly influence sentiment.
