Recently, YouTuber Stephen Findeisen (Aka “Coffeezilla”) filed allegations against Ben Phillips, the former chief marketing officer of SafeMoon, for orchestrating SafeMoon’s spike and plunge resulting in a $12 million fraud. The accusers say Ben Phillips used his influence to promote Safemoon, thereby raising the price of its tokens, while selling millions of SafeMoon tokens at a profit.
This news has generated a lot of buzz among SafeMoon fans. At the time of writing, we see from the international cryptocurrency exchange gate.io that SafeMoon’s price has dropped 12.5% in the last 7 days and now stands at $0.0008124. The 24 hours trading volume was $1,998,531.
What Is Ben Phillips’ Fraud All about?
YouTuber Stephen Findeisen is a specialist in exposing cryptocurrency fraudsters and deliberate troublemakers. He recently investigated the reasons behind many of the cryptocurrencies that have exploded in popularity and the behaviors that could potentially cause fraud, which led to the discovery of Ben Phillips’ actions.
Ben Phillips is a Welshman and YouTuber whose videos are often directed at producing prank content to attract viewers. And Stephen investigated that earlier last year, Ben created a prank video to promote the token and drive up its SafeMoon price. Such collaborative promotional marketing between influencers and token teams has become a collaborative approach and strategy across industries, and the cryptocurrency industry is no different.
Stephen also mentioned that Ben’s fake sales videos included sweepstakes and sales, publicly telling his millions of followers to hold SafeMoon’s “huge potential for the future” while secretly “offloading” millions of dollars of tokens himself.
Stephen recovered Ben’s deleted tweets and found a pattern of aggressive tweets about the project that coincided with the massive sales on PancakeSwap. Why would Ben announce that he backed and held a large number of SafeMoon tokens while quietly selling them? The reason is simple: He wanted to sell at the highest possible price for SafeMoon to maximize his profit.
It is unknown whether SafeMoon’s price will rise again, as its token price has been falling since the departure of SafeMoon’s global product director. It’s probably going to take some more thought for SafeMoon to make a big price breakthrough. However, for investors, the rewards of cryptocurrencies come with high risks and need to be considered carefully before investing, especially in smaller tokens.
Photo by Tima Miroshnichenko
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