A storm brews in the Solana ecosystem following abrupt leadership changes and explosive allegations. Meteora co-founder Ben Chow resigned Monday amid claims of insider trading linked to the volatile $LIBRA token. Meanwhile, shadowy figures emerge, pulling strings behind meme coin chaos. With millions lost and trust eroding, the crypto community demands answers, and one name surfaces repeatedly: Hayden Davis.
Meteora Co-Founder Exit
Ben Chow, co-founder of decentralised exchanges Jupiter and Meteora, stepped down after accusations of misconduct tied to $LIBRA’s collapse. Pseudonymous Jupiter leader “Meow” announced Chow’s resignation on X, citing “lack of judgement” in core operations. Despite defending Chow’s character, Meow confirmed an independent probe by law firm Fenwick & West.
Meanwhile, $LIBRA’s value nosedived from $4 to under $0.50 after Argentine President Javier Milei deleted a promotional tweet. Rumours of a rug pull intensified as insiders allegedly cashed out $100 million, leaving retail investors stranded. Chow denied involvement, stating neither he nor Meteora held $LIBRA tokens or insider knowledge.
From Presidential Endorsement to Market Collapse
Launched February 14, $LIBRA gained fleeting legitimacy when President Milei endorsed it as a tool for economic growth. Its market cap briefly hit $4.5 billion before imploding hours later. Critics labelled it a “rug pull,” accusing insiders of orchestrating the pump-and-dump.
Opposition lawmakers now push to impeach Milei, alleging fraud. Concurrently, Solana-based platforms Jupiter and Meteora faced backlash for their perceived roles. Both denied manipulating $LIBRA, with Jupiter clarifying they verified the token only after it achieved liquidity. A move they insist wasn’t an endorsement.
Central Figure in Alleged Scheme
Kelsier Ventures CEO Hayden Davis sits at the scandal’s eye. In a bombshell Coffeezilla interview, Davis admitted holding $110 million from “sniping” $LIBRA and $MELANIA launches. Buying tokens pre-release to dump at peak prices. He also reimbursed influencer Dave Portnoy $5 million after losses and revealed insiders bought $TRUMP tokens at a $500 million pre-launch valuation.
Furthermore, Davis hinted at political fallout: Milei’s impeachment risks intensify as prosecutors investigate his $LIBRA ties. “This is FTX-level bad,” one trader tweeted, accusing key opinion leaders (KOLs) of rigging markets.
Video Evidence Fuels Public Outcry
A leaked video escalated tensions, showcasing DefiTuna founder Dhirk confronting Chow about Davis’s actions. Dhirk claimed Kelsier members engaged in insider trading during a Barcelona meetup. Chow, visibly distraught, lamented introducing Davis to the $MELANIA project.
“I enabled someone who shouldn’t have been enabled,” Chow said, later vowing to resign. The footage contradicts his earlier denials, sparking accusations of complicity. Community members allege Chow knew of Davis’s plans but stayed silent.
Jupiter and Meteora Deny Wrongdoing
Jupiter’s Meow reiterated no insider trading occurred, emphasising Meteora’s independence since 2023. He praised Chow’s work building Meteora’s community but acknowledged lapses in oversight. “Ben’s recent judgement didn’t meet expectations,” Meow stated, pledging stricter token transparency.
However, users remain skeptical. Critics argue Jupiter’s “strict” token verification failed to flag $LIBRA’s risks. The platform countered that verification occurred post-launch to combat impersonator tokens, asserting team members learned of Milei’s involvement only weeks prior.
Industry Calls for Transparency
The scandal has become a “watershed moment,” Meow declared, outlining plans for permissionless products and Jupnet to elevate industry standards. Meanwhile, regulators circle Milei, and Fenwick & West’s pending report looms.
As trust in meme coins erodes, investors question broader market integrity. “If memecoins are this manipulated, what about TGEs?” one analyst tweeted. For now, all eyes remain on Davis and the $110 million mystery fund threatening to unravel crypto’s fragile credibility.
Written By Fazal Ul Vahab C H
