Memecoins based on Sam Bankman-Fried saw a sharp rise before collapsing after the former CEO of FTX was sentenced to more than 20 years in prison by a US court. Degenerates of Memecoin have once more invested their money in a wide range of dubious tokens, this time in the wake of Sam Bankman-Fried’s historic sentencing, which resulted in a 25-year prison term for him. Bankman-Fried, the former CEO of FTX, became the first employee to be sentenced to prison on March 28 after Judge Lewis Kaplan found him guilty of seven counts of fraud. The collapse of the exchange in November 2022 was considered one of the largest corporate collapses in US history.
Memecoin Launched On Coinbase Few Hours Before Sam Bankman-Fried’s Arrest Was Announced
But a developer named Sam Baseman Fraud—funnily with the ticker FTX—launched a memecoin on the Coinbase layer-2 network Base a few hours before Bankman-Fried’s sentence was announced. According to DexScreener statistics, the FTX meme coin increased in value by almost 23,300% in just seven hours, reaching a high market capitalization of $1.5 million on March 28.
The token then started to sell off rapidly, plunging more than 85% in three hours, as many meme coins sometimes do. The price of the meme coin has leveled down and is currently trading at about $0.06, which is still 60% below its peak as of the time of publishing. Another SBF-themed meme coin called Som Bonkmon Fraud debuted on Solana SOL tickers down $188 around two hours after the sentencing.
