The craze for Memecoin is closely related to the extremely low threshold for issuing tokens. It only takes a few dollars or even free to issue tokens, which also leads to tens of thousands of new tokens being issued every day, exacerbating PVP. Whenever a hot spot comes out, various concept coins will immediately appear, including various NEIRO coins (uppercase and lowercase), Trump concept coins, etc.
As a result, all kinds of scams and cases of price-pulling and profiteering are common.
A very representative project of cutting leeks appeared last night - SHARPEI ($SHAR).
According to a promotional article released by Cointelegaraph after the opening, Sharpei is a dog-themed memecoin built on the Solana blockchain that aims to stand out by providing real-world practicality while maintaining its lighthearted dog-themed brand. Part of the fees generated by the ecosystem will be used to purchase and destroy SHAR tokens, thereby reducing the supply and potentially increasing the value of the token over time. The Sharpei team explained: "Sharpei is a brand, if you will, not just another memecoin: just like Apple revolutionized technology or Volvo redefined safety, Sharpei is setting the standard for the next generation of memecoins."
With technology, a team, and a token repurchase and destruction plan, it seems much more reliable than many memes that don’t have any background information. However, this may be a “big pit” dug by the conspiracy group.
According to the dexscreener project page, $SHAR has only been launched for 11 hours, but its trading volume has reached 130 million US dollars, ranking first in the entire Solana chain, surpassing the popular $GOAT, which set a new record yesterday. GOAT currently has a market value of 685 million US dollars and a 24-hour trading volume of 87.6 million US dollars.
SHAR was officially launched on the Solana chain at around 10:20 last night, and then it rose straight up, bringing its market value to $60 million in 50 minutes. After that, it fell back and began to fluctuate between $30 million and $40 million. However, at about 5:20 in the morning, SHAR suddenly plunged, with its market value falling from $40 million to $1 million.
Why did the market plummet?
According to on-chain monitoring, someone sold $3.3 million worth of $SHAR (50% of the supply) in a single transaction, causing its price to drop by about 90% in an instant.
Analysis of fraud methods
@LSlaowang analyzed the operation methods of this project:
1. Super large transaction amount, close to hundreds of millions of transactions in just a few hours, attracting a lot of big funds ($SHAR's transaction volume exceeded 100 million US dollars in a short period of time)
2. Take advantage of current hot topics and themes
3. Then the project owner frantically sells the goods and makes a profit.
@bubblemaps, an on-chain data company, said that at the opening, 60% of $SHAR was sniped and dispersed to more than 100 addresses. A typical tactic.
KOL boost
SHAR seems to have invited some KOLs to promote it, including Chinese KOL 0xSun, who has promoted the project many times.
At present, some investors have begun to defend their rights in various ways. There are too many people, and the group is currently inaccessible. I hope to sound the alarm again through SHAR, and be wary of various scams and traps. 
