Cryptocurrency investors are falling victim to a suspected Solana meme coin honeypot scam known as BONKKILLER, despite warnings that they may not be able to withdraw their investments. The coin achieved an astronomical market cap of $328 trillion through a manipulative tactic of freezing token holders’ accounts and preventing sales. According to Solana ecosystem news platform Solana-Floor, 90% of BONKKILLER tokens are concentrated in the hands of its creator, leaving investors unable to move their assets and effectively trapping their investments.
Launched on April 29, the BONKKILLER Solana meme coin quickly amassed approximately $4.6 million in trading volume within 24 hours. Despite red flags being raised by numerous platforms and warnings of a classic honeypot scam, traders continue to invest in BONKKILLER. On-chain data reveals that the creator has already accumulated $1.62 million from unsuspecting victims through just 11 transactions. NFT trader “thirt13n” pointed out the fallacy of the inflated market cap, stating that if investors are unable to sell, the coin is essentially worthless.
BONKKILLER is just one example of the prevalence of meme coin rug pulls and honeypot scams that target novice traders. Many meme coins exhibit scam-like characteristics, with six out of ten on the Ethereum layer-2 scaling solution Base being categorized as scams or displaying vulnerabilities. While some may argue that creators of meme coins lack understanding of development and security protocols when launching coins as jokes or satire, the financial and emotional damage inflicted on unsuspecting individuals is a serious concern.
To mitigate risks and avoid falling victim to such schemes, investors should prioritize thorough research and utilize tools to detect potential honeypot scams before engaging with any Solana meme coin or similar projects. Being informed and taking proactive measures is crucial for safeguarding investments in the cryptocurrency industry. Despite warnings and red flags, traders continue to invest in BONKKILLER and similar scams, highlighting the need for greater awareness and diligence in the cryptocurrency market to protect against fraudulent schemes.
Honeypot scams like BONKKILLER serve as a reminder of the risks involved in the cryptocurrency market and the importance of due diligence before investing in any project. While some may view meme coins as harmless fun or satire, the financial losses and emotional toll inflicted by scams underscore the need for responsible investing practices. By staying informed, conducting thorough research, and utilizing tools to detect potential scams, investors can better protect themselves and their assets in the volatile world of cryptocurrency. It is essential for regulators, industry participants, and investors to work together to identify and prevent scams, safeguarding the integrity of the market and protecting investors from fraudulent schemes.
