Investigator Sets Sights on Memecore's Cryptocurrency Amid Fears of an Imminent Implosion Driven by Suspected Internal Manipulation

Renowned on-chain analyst ZachXBT has cast a shadow over Kraken's recent announcement of its involvement in Operation Atlantic, a collaborative effort between the US Secret Service, the UK's National Crime Agency, and Canadian authorities, which uncovered over $45 million in suspected illicit proceeds and identified more than 20,000 potential victims. ZachXBT's scrutiny stems from concerns regarding Kraken's listing process, particularly with respect to Memecore's native token, M, which was listed on July 3, 2025, for spot trading. He questioned the exchange's due diligence, inquiring how the token passed its vetting process.

This line of inquiry follows ZachXBT's exhaustive examination of the events that led to the downfall of RaveDAO's $RAVE token, which he attributes to insider manipulation across multiple centralized exchanges. In an effort to uncover the truth, ZachXBT has offered a $25,000 reward for information that leads to the identification of those responsible. Memecore, a self-described layer-1 blockchain for the "Meme 2.0 economy," has drawn comparisons to $RAVE due to its similarly questionable market dynamics. The $M token boasts a market capitalization of approximately $6 billion and a fully diluted valuation of around $35.5 billion, ranking it among the top 25 tokens on prominent tracking platforms.

ZachXBT has repeatedly challenged Memecore's claims, requesting concrete data to support its market capitalization and questioning the disproportionate control of insiders, who hold over 90% of the token's supply. His on-chain analysis has also revealed suspicious activity on Kraken, including $7.9 million in dubious withdrawals to newly created addresses holding $39.8 million worth of $M tokens. Furthermore, a suspected Memecore team wallet was found to have transferred 5.3 million $M tokens to two Kraken deposit addresses on July 3, 2025.

As one of the few exchanges supporting $M spot trading, Kraken's listing decision and due diligence process have come under intense scrutiny. The $M token's market capitalization has since declined to $4.57 billion, with the token trading at $3.54, down over 0.3% in the past 24 hours. ZachXBT's investigation into the $RAVE collapse, which occurred in December 2025, shed light on the token's precipitous rise and subsequent 95% decline, resulting in the erasure of a $6 billion market capitalization on merely $52 million in 24-hour liquidations.

The aftermath of the $RAVE incident saw several exchanges, including Binance, Bitget, and Gate, acknowledge ZachXBT's findings and pledge to investigate. OKX's CEO, Star, confirmed that the exchange's risk engine had functioned as intended and contributed $25,000 to ZachXBT's bounty. ZachXBT remains skeptical that exchange compliance teams were unaware of the suspicious activity prior to his public disclosure, emphasizing that delayed intervention allows retail traders to bear the brunt of losses while platforms collect fees on the resulting volume. He has also identified other projects, including SIREN, MYX, COAI, M, PIPPIN, and RIVER, as exhibiting similarly questionable price action.