The universe of cryptocurrencies is a sea of speculation, and occasionally, the truth takes a bit of unearthing to surface. The recent investigation has turned up a bunch of murky connections between the short-lived but notorious tokens MELANIA and LIBRA and the same sketchy team of creators. What appeared to be separate, unrelated, and isolated events is now being judged as one, and the judges (a mix of crypto enthusiasts and experts) aren’t happy with what they see. Uncovering the Web of Cross-Chain Transfers For some time now, people have suspected that MELANIA and LIBRA have the same mother. But in the absence of concrete evidence, the theories have had to take on a speculative nature. Recently, however, analysis of the cross-chain transfers has given those theories a shot of new life. What’s more, the timing of the various transactions makes clear that MELANIA and LIBRA are more than just sister projects; they share a common origin team. And as ever, the much-feared regulatory scenario is the icing on the cake. The inquiry started with the examination of sniper operations on MELANIA, a token that caused quite a ruckus upon its introduction. One account that quickly attracted attention was the one identified by the address P5tb4. This account was performing significant trades—clearly visible on the blockchain—and walking away with a hefty profit. As far as the analysts were concerned, this was not what raised their eyebrows. What raised their eyebrows and made them lean in closer was the staggering amount of money this account had made and very likely was still making. Following the generation of these profits, P5tb4 moved all of them to the address: 0xcEA. This wallet, already connected to the entity behind the MELANIA project, was part of a sequence of transfers moving assets across multiple blockchain networks via the USDC Cross-Chain Transfer Protocol (CCTP). When looked at closely, these connections didn’t appear to be random. They pointed to the same individuals—likely the creators of MELANIA or someone closely associated with the project—doing the equivalent of an inside job: sniping their own token launch, buying into their own token early on, and profiting from doing so. Connecting the Dots to LIBRA and Other Alleged Pump-and-Dump Schemes The account of events does not halt at that point. A couple of weeks after the inquiry into MELANIA, something much more concerning surfaced. It was found that the same wallet—0xcEA—was now funding an individual known as DEfcyK, the creator of LIBRA, yet another suspicious token. The LIBRA team had also been into some very concerning activities, including a cash-out of $87 million. This connection makes it all the more certain that MELANIA and LIBRA aren’t just linked by their appearance but by whatever tie makes those under investigation for either token much more likely to be shady characters. Deeper investigation uncovered that 0xcEA was engaged in sniping LIBRA as well. Using multiple side addresses funded through CCTP, this wallet made a sizable profit of $6 million from LIBRA—mirroring exactly what happened with MELANIA. In both instances, the same playbook seemed to be operating: launch the token, buy it early with inside information, and then sell it for a profit. However, the disturbing links do not stop with MELANIA and LIBRA. Analysts have uncovered 0xcEA’s involvement in a number of other token launches, most of which followed a disturbingly familiar pattern: these tokens—TRUST, KACY, VIBES, and even HOOD—had all been pumped and dumped, leaving many unsuspecting investors with massive losses. The upshot: launch a token, use insider information to drive up its value, then sell it off and cash out, leaving behind a trail of wrecked investors. A Pattern of Greed: $100 Million Profit on LIBRA Alone What makes this situation especially unsettling is not just the nature of the deception but also the vast scale of it. The insiders working on MELANIA and LIBRA seem to have made off with over $100 million—$87 million, to be specific, from LIBRA alone. This payscale puts these rogues in line with Bernie Madoff and makes this situation a whole lot more serious. And what’s worse, from a purely ethical perspective, is that these well-organized, highly motivated individuals took advantage of naive investors to fund their own lavish lifestyles. 1/ How $LIBRA was created by the same team behind MELANIA and other short-lived coins Featuring new onchain evidence A thread with Coffeezilla ↓ pic.twitter.com/gNwj97KapF — Bubblemaps (@bubblemaps) February 17, 2025 The schemes that these investors fell for have had a serious impact on many individuals. They might have been lured by the promise of high returns and the serious-looking nature of the projects. But behind the facade was a coordinated effort to dupe many people into thinking they were investing in legitimate concerns, while all time the masterminds were cooking up a market-manipulating plot that would leave lots of us (yes, lots of us) with serious investment losses. The Bigger Picture: Pump-and-Dump Culture in the Crypto World The team behind MELANIA and LIBRA is not alone. Sadly, it is part of a larger movement in the world of cryptocurrencies, where pump-and-dump operations are becoming a dangerously common occurrence. Although scams of this sort have always been present in traditional markets, the crypto market—with its wild price swings, thinly traded investments, and regulatory gray areas—has become something of a pump-and-dump paradise. This serves as a cautionary tale for investors. In the realm of crypto, it is crucial to remain vigilant, to ascertain the legitimacy of projects, and to be cognizant of the many risks present. MELANIA and LIBRA are just two convenient examples of why this is necessary—why it might even be essential—to maintain a healthy skepticism about the kinds of products and services being offered by an unregulated marketplace. With projects launching and collapsing at a rapid pace, it has become more necessary than ever for investors to perform due diligence. The probe into these deceptive dealings continues, and it’s vital for the wider crypto world to garner lessons from them. DeFi and blockchain technology hold large and meaningful promises, but their underlying sectors haven’t fully matured, and the investment risks—especially those tied to half-baked or poorly understood notions of value—are steep. Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services. 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