The Benjamin Chow memecoin scam involves allegations that Meteora’s founder orchestrated pump-and-dump schemes using high-profile figures like Melania Trump and Javier Milei to promote tokens such as MELANIA and LIBRA. Investors claim losses from rapid value surges followed by 90-99% drops, with Chow coordinating at least 15 such frauds through Kelsier Ventures.
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Key Allegation: Chow’s Role – The lawsuit accuses Benjamin Chow of masterminding memecoin launches that exploited celebrity associations for quick gains before dumping tokens.
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Token Connections: Bubblemaps analysis linked wallets behind MELANIA and LIBRA, revealing coordinated efforts by Chow and collaborators.
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Broader Impact: At least 15 pump-and-dump tokens are cited, with plaintiffs seeking damages for fraud and racketeering in the U.S. class-action suit.
Discover the Benjamin Chow memecoin scam details: U.S. lawsuit exposes fraud in MELANIA and LIBRA tokens. Learn how investors lost millions and what it means for crypto regulation. Stay informed on Solana memecoin risks today.
What is the Benjamin Chow Memecoin Scam?
The Benjamin Chow memecoin scam refers to a series of alleged fraudulent activities where Meteora’s founder, Benjamin Chow, is accused of launching and manipulating memecoins on the Solana blockchain to defraud investors. According to the class-action lawsuit filed in the U.S., Chow used the names and images of prominent figures, including First Lady Melania Trump and Argentine President Javier Milei, to create the illusion of legitimacy for tokens like MELANIA and LIBRA. These tokens experienced explosive initial price surges, drawing in retail investors, only to plummet by up to 99% as insiders reportedly dumped their holdings, resulting in significant financial losses for participants.
How Did the MELANIA and LIBRA Tokens Operate in the Alleged Fraud?
The lawsuit, titled Hurlock v. Kelsier Ventures, details how defendants including Chow, Meteora, and associates from Kelsier Ventures allegedly structured the tokens as liquidity traps. For MELANIA, launched in January on Solana shortly after President Trump’s TRUMP token, the memecoin initially soared in value, attracting widespread attention due to its association with Melania Trump. However, blockchain data from analytics firm Bubblemaps indicated that the development team sold off approximately $30 million worth of tokens in April without public disclosure, leading to a near-total value collapse.
Similarly, LIBRA, branded as a cryptocurrency tied to President Javier Milei’s libertarian ideals and aimed at funding small Argentine businesses, followed a parallel trajectory. It skyrocketed upon launch but crashed by 90% within hours. Bubblemaps further uncovered wallet connections between the MELANIA and LIBRA launches, suggesting a unified strategy. The complaint emphasizes that neither Trump nor Milei were involved in the operations; instead, they served as mere props to bolster credibility. Plaintiffs argue this was part of a racketeering pattern, with Chow directing at least 15 such schemes.
Expert analysis from blockchain investigators supports these claims. For instance, reports from Bubblemaps highlighted unusual token movements that aligned with insider selling patterns common in pump-and-dump operations. The lawsuit also differentiates Meteora’s legitimate automated market maker services from the separate infrastructure Chow allegedly used for these fraudulent activities. Hayden Davis, CEO of Kelsier Ventures and a key figure in the launches, previously boasted in interviews about holding substantial gains from LIBRA, including $100 million post-collapse, and admitted to developer strategies that sniped tokens to control prices—details now cited as evidence of manipulation.
Collaborators named include Ng Ming Yeow, co-founder of Meteora and Jupiter, alongside the Davis family—Hayden, Charles, and Gideon—operating through Kelsier Ventures. The filing asserts that this group executed coordinated dumps, extracting value while leaving investors with worthless assets. KIP Protocol, which had prior engagements with the Argentine government, confirmed a January 30 meeting between Milei and Davis but denied any involvement in the token process or profits. Milei himself stated he had no prior knowledge of the Viva La Libertad Project and ceased promotion upon learning of the ties.
Frequently Asked Questions
What Evidence Links Benjamin Chow to the Multiple Memecoin Launches?
The U.S. class-action lawsuit cites blockchain wallet analyses from Bubblemaps connecting Chow’s operations to at least 15 pump-and-dump tokens, including MELANIA and LIBRA. It details his coordination with Kelsier Ventures and the Davis family, using separate infrastructure from Meteora for these schemes, with insider admissions from Hayden Davis supporting the fraud claims.
Did Melania Trump or Javier Milei Know About the LIBRA and MELANIA Memecoin Scams?
No, according to the lawsuit and public statements. Investors explicitly state that Trump and Milei bear no blame, serving only as promotional props. Milei denied prior knowledge of the LIBRA project and stopped endorsing it after discovering connections, while no evidence implicates Trump in the operational decisions or profits from the token launches.
Key Takeaways
- Orchestrated Fraud Network: Benjamin Chow allegedly led a group including Kelsier Ventures to execute at least 15 memecoin pump-and-dumps, exploiting celebrity endorsements for rapid gains.
- Blockchain Transparency’s Role: Analytics from firms like Bubblemaps revealed wallet links and $30 million in undisclosed MELANIA sales, underscoring the importance of on-chain investigations in uncovering scams.
- Regulatory Implications: This lawsuit highlights vulnerabilities in Solana memecoins and calls for stronger oversight to protect retail investors from celebrity-branded frauds.
Conclusion
The Benjamin Chow memecoin scam, as outlined in the Hurlock v. Kelsier Ventures lawsuit, exposes the dark underbelly of high-profile token launches like MELANIA and LIBRA, where fraudulent pump-and-dump tactics allegedly cost investors millions. By leveraging figures such as Melania Trump and Javier Milei without their involvement, defendants purportedly created false legitimacy, leading to devastating 90-99% value drops. As the case progresses, it serves as a stark reminder of the risks in the unregulated memecoin space on Solana. Investors should prioritize verified projects and blockchain due diligence, while regulators may push for enhanced protections to prevent future Meteora-linked frauds. Stay vigilant in 2025’s evolving crypto landscape to safeguard your assets.
