Delulu or Trululu: Did Nigeria’s Entertainment Self-Acclaimed 001 Just Launch a Scam Coin?

Amid Nigeria’s change of an anthem, an artiste seems to be making a change as well, maybe slowly separating himself from the Nigerian music industry, cutting off from who is among the BIG 3? controversy among fans. Why?

Bigwig, A-list, 001 or whatsoever you’d like to call this artiste, being involved in a Solana 24hr coin launch scam, ripping loyalists of money cannot be what we expected.

First, what is Solana, what is a Phantom Wallet, what does it mean to launch a coin in the crypto space, what makes a recently launched coin fluctuate and devalue, becoming a scam and does his crypto voyages all have to end up the same way?

What is a Solana (for those who don’t know)

Solana is a high-performance blockchain platform that aims to provide fast, secure, and scalable decentralized applications (dApps) and cryptocurrencies.

Launched in 2020, Solana is known for its high throughput, capable of processing thousands of transactions per second, thanks to its unique Proof of History (PoH) consensus mechanism combined with the Proof of Stake (PoS) model.

This allows Solana to achieve low transaction costs and high speeds, making it an attractive platform for developers and users in the crypto space. Its ecosystem supports a wide range of applications, from decentralized finance (DeFi) to non-fungible tokens (NFTs), fostering a vibrant community and innovative projects.

Yes, you’re a bit lost. Are you?

Now let me explain this, as if to a child.

Solana is like a superfast and super-smart train track for digital money and apps. Imagine you have a lot of toy cars that need to move quickly and smoothly without crashing. Solana helps these toy cars (which are like digital money or apps) move really fast, safely passing on its track. This makes it easy for people to use and create cool new digital things without waiting a long time.

Back to the 001, should we?

A case of undue diligence

In this case, the developer and capital investor neglected due diligence, hoping (or maybe not) to fraudulently profit from this launch, knowing full-well the amount of followers they both pull on social media.

How about his past and scam coins?

Absolutely. It almost feels like after the storm comes disappointment for investors in whatever he projects. In the past, he endorsed the Racksterli (or spelled Racksterly) scheme launched in 2019 as a money doubling scheme.

This self-acclaimed 001 pushed the project, urging people to buy into it, an outright encouragement of a business model with a crafty multi-layered marketing platform. Helpful of Flutterwave to have clamped down on them after they planned on moving, using their system to process high-volume payments. While at that, Fluterwave noticed that the volume of transactions didn’t match up with their kind of business model, suggesting underlying fraud in it all.

Away from that, the 001 backed up a coin called rapdoge.com (on X, @rapdoge) — this page is currently inactive since 2021 and their site can’t be accessed.

He went on asking his followers to HODL (pronounced as “Hold”), which garnered a lot of attention at the start but ended up being a sham. X users clamped on this, calling it another sale of a shit coin.

Some X users have tweaked his famous quote, “WE RISE BY LIFTING OTHERS” to “WE RISE BY GRIFTING OTHERS”, following how consistent most of his crypto projects end up being flushed.

Being involved in these series of scam projects in the last five years bears the question of is the self-acclaimed 001 a product of bad company and should work on this, or is he caught up in the “It’s better to have a circle of rich people than be the only rich person” mantra of his, soiling hands and entertaining ideas alien to his personality just to keep this mantra going and true?

Like in the past, a repetition is made in this coin he launched barefaced. Days ago, what is called $DAVIDO was launched on Solana, which is also a huge scam, a rug on investors.

By pulling out his major capital after selling 121.88M $DAVIDO for $2,791 SOL($474.4K) in 24hrs, this is just another one, as they say, of his crypto antics. Following records, after making this amount, he also sent 20M $DAVIDO to an unknown “dead1111…1111”, with 61.12M $DAVIDO($209K) left in his wallet.

Maybe diversity for this artiste can come later. Or as some would say, he should keep initiating diversity in just his music alone, creating even more amazing sounds across cultures and continents as he’s been doing.

This next part will be more interesting to those who have been in the crypto space for a while, or those looking to know more about wallets, crypto-coins, creating and launching crypto coins. Enjoy.

What is a Phantom Wallet?

So, what is a Phantom Wallet for the Crypto enthusiasts?

A Phantom Wallet is a digital wallet specifically designed for managing and interacting with assets on the Solana blockchain. It is a noncustodial wallet, meaning users retain full control over their private keys and, consequently, their assets. Phantom Wallet provides a user-friendly interface for storing, sending, receiving, and swapping Solana-based tokens (SOL) and other tokens compliant with the Solana blockchain, such as SPL tokens.

One of the key features of Phantom Wallet is its seamless integration with decentralized applications (dApps) on the Solana network. It enables users to interact with various DeFi protocols, NFT marketplaces, and other blockchain-based services directly from the wallet interface. This integration facilitates smooth and secure transactions, enhancing the overall user experience.

Phantom Wallet also prioritizes security and ease of use. It employs encryption and secure key management practices to safeguard users’ assets. Additionally, it supports hardware wallets for an extra layer of security. The wallet’s intuitive design makes it accessible to both novice and experienced users, providing features like automatic token detection, staking capabilities, and detailed transaction history, ensuring a comprehensive and secure management of digital assets.

Creating a coin using Solana

Launching a coin on Solana involves several critical steps. First, a developer or team must create the coin’s smart contract, which defines the coin’s properties and functionalities.

This typically involves writing the contract in Rust, a programming language supported by Solana. Once the smart contract is written and tested, it must be deployed on the Solana blockchain. The next step involves minting the initial supply of the coin, which can be done through the deployed contract.

After minting, the coin must be listed on decentralized exchanges (DEXs) like Serum or centralized exchanges (CEXs) for trading. Additionally, launching a coin often requires marketing efforts to build awareness and attract investors, as well as establishing a community for ongoing support and development.

Still boggled by the words, right?

Here’s a clearer explanation.

When someone wants to make a new digital coin, it’s like inventing a new toy car. First, they design the car and decide how it should work. Then, they test it to make sure it runs perfectly on the track.

After that, they make lots of these toy cars and put them on the Solana track. To let everyone know about the new toy car, they show it in toy stores (like online markets) where people can buy, sell, or trade it. They also tell as many people as possible about their new toy car so that people will want to use and play with it.

Causes of fluctuation of launched coins

This fluctuates due to various factors. Market sentiment plays a crucial role; negative news or developments related to the coin or the broader market can lead to a decrease in value. Additionally, technical issues such as security breaches or network instability can erode investor confidence.

Supply and demand dynamics also significantly impact a coin’s price. If the supply outpaces demand, the price is likely to fall. Regulatory changes can also affect a coin’s value, as increased regulation or bans in major markets can lead to decreased usage and investor interest. Lastly, competition from other projects and technological advancements can render a coin less attractive, leading to a decline in its value.

Or to put it clearer: Sometimes, the new toy car can become less popular or less valuable. This can happen if people hear bad news about it or if the toy car has problems, like breaking easily. If lots of people stop playing with the car and don’t want to buy it anymore, its value goes down.

Also, if new, more exciting toy cars come out, people might lose interest in the old one. Finally, if the rules for playing with toy cars change and make it harder to use, people might not want it as much, which also makes its value drop.

Before making that investment in any crypto-coin, do your own research, taking an extra step to verify projects, not waiting to be spoon-fed by anyone