Dave Portnoy Cashes in $258K on a Meme Coin, Then Sees It Crash 90%

Capitalizing on the faith of his audience, Dave orchestrated a classic pump-and-dump maneuver. By leveraging social engineering and pouring in his own capital, he artfully pumped up his coin before liquidating his entire stash. Analysts from Lookochain reveal that Portnoy launched the meme coin GREED, securing about 35.79% of the total supply, only to sell off all his holdings in a single move that caused the coin’s value to tumble by more than 90%.

What’s striking is that, even as the price soared, he repeatedly assured the public he could sell GREED at any moment, yet he refrained, leaving enormous profits unclaimed. After the sale, he made it clear that his sole long-term bet was on the token JAILSTOOL. However, within mere hours, he introduced a new venture—GREED 2, retaining a 26.8% stake for himself.

I have literally only said I will not sell 1 coin. That coin is JAILSTOOL until it hits 1 billion market cap. Everything else I’ve said I can sell. I’ve warned people. Told em not to buy. I don’t cash out. I’m 600k ish in the red. Yet people call me a scammer,

Dave wrote after selling GREED.

According to several accounts, in only two weeks he conducted more than 15 pump-and-dump operations across diverse projects where he had early allocations, notable stakes, or insider information. Despite the mounting public criticism, he maintained that he would carry on as usual, since he consistently advises people against purchasing tokens. Meanwhile, online observers have begun to quip that the Ethereum Foundation might have hired him to damage Solana’s standing.

They are making a mockery of our space. Way worse than the ICO days,

commented user justjun.

With meme coins booming, pump-and-dump strategies have become alarmingly frequent. Portnoy, ever the provocateur, laughs off the criticism by blaming trader greed, yet his public shenanigans might eventually catch the eye of the US Attorney General. While selling your own assets is legally fine, pushing these kinds of projects could easily spark an investigation and lead to hefty fines.

Read on: Scammers Tricked Investors with a Fake Saudi Meme Coin