Last updated on June 30th, 2026 at 09:51 am
Crypto investigator ZachXBT has renewed criticism of MemeCore and several major cryptocurrency exchanges after the project’s M token lost more than 74% of its value in a single day.
The sharp sell-off saw M drop from nearly $3 to around $0.50 within hours on June 25, wiping out close to $3 billion in market value. The token later traded near $0.72, while its fully diluted valuation fell from roughly $14 billion to about $3.8 billion.
The crash occurred without any confirmed exploit, hack, or official explanation from the project, prompting fresh scrutiny from market observers.
ZachXBT renews warnings after collapse
Shortly after the decline, ZachXBT pointed to concerns he and other analysts had previously raised about MemeCore’s token structure and market valuation.
In comments shared on Telegram, the blockchain investigator said the crash validated earlier warnings regarding supply concentration and what he described as misleading user-growth metrics. According to ZachXBT, concerns surrounding the project had been highlighted long before the latest market downturn.
He also questioned the sustainability of MemeCore’s valuation, noting that the token had reached a multibillion-dollar market capitalization despite ongoing concerns about token distribution among a limited number of holders.
The latest decline has brought those issues back into focus as traders seek answers for the sudden loss in value.
Why is ZachXBT questioning major exchanges?
A major part of ZachXBT’s criticism was directed at exchanges that chose to list the token.
He questioned why Binance and Bybit approved perpetual futures trading for M, while Kraken and Bitget listed the token on their spot markets. According to ZachXBT, listing assets with questionable liquidity and concentrated ownership can expose retail investors to significant risks.
The investigator argued that highly manipulated markets can harm users and damage confidence in the broader crypto industry.
He also publicly challenged MemeCore figure Rudy Rong on X, asking how many retail investors may have lost money due to what he described as manipulation surrounding the M token.
How many retail investors lost funds due to the MemeCore teams $M manipulation?
You are not welcome in the US go back to your home country.
Only let in the US because one of your parents is a foreign billionaire.
Not a single person would miss you if you disappeared tomorrow… pic.twitter.com/unGk06xRz5
— ZachXBT (@zachxbt) June 25, 2026
Liquidity and supply concerns return to the spotlight
Beyond exchange listings, ZachXBT highlighted data that raised concerns about the token’s underlying market activity.
According to his observations, blockchain data showed no individual transfer above $50,000 on BNB Chain in more than two weeks. He also pointed to decentralized exchange data indicating less than $100,000 in on-chain liquidity.
While the allegations remain disputed and have not been independently confirmed by all parties, the collapse of M has intensified debate over exchange due diligence, liquidity standards, and the risks associated with high-valuation crypto assets.
Earlier this month, ZachXBT also issued a warning to crypto traders about Rain Protocol, alleging that the project is connected to a network of questionable on-chain activity and may be benefiting from artificial market support.
Enjoyed this? Bookmark DeFi Planet, explore related topics, and follow us on Twitter, LinkedIn, Facebook, Instagram, Threads and CoinMarketCap Community for seamless access to high-quality industry insights
Take control of your crypto portfolio with DEFI PLANET PRO, DeFi Planet’s suite of analytics.
