Scammers have recently targeted investors by launching a fake Saudi Arabia memecoin, impersonating Crown Prince Mohammed bin Salman. The fraudulent token, named “Official Saudi Arabia Memecoin (KSA),” was introduced on February 17 via an X post by a fake account, “SaudiLawConf.” The scam capitalized on the growing retail enthusiasm for celebrity-backed memecoins, which often promise quick gains but lack substantial backing. The absence of any official government announcement or detailed information about the coin’s utility raised immediate red flags for potential investors.
Soon after the launch of the token, the Saudi Law Conference, which owned the hacked X account, confirmed that their platform had been compromised by the scammers.
They issued a statement clarifying that the content shared through the hacked account did not represent their official opinions or orientations. The attack came at a time when the market was already reeling from the rapid rise and dramatic fall of the Libra token, endorsed by Argentine President Javier Milei, which lost over 90% of its value in a matter of hours. This sequence of events has heightened concerns over the security of celebrity-endorsed tokens.
The fraudsters’ actions were not only misleading but also showcased the vulnerabilities within the memecoin market, where investors are often swayed by celebrity names rather than project fundamentals. Experts like Anndy Lian, a blockchain authority, have advised investors to conduct thorough research before buying into such tokens. Lian stressed the importance of verifying the legitimacy of the project, including the transparency of its team and the authenticity of its backing, as many of these coins are launched without any clear roadmap or accountability.
Despite the scammers’ efforts, the fake Saudi memecoin failed to generate significant market interest. The token, launched a week before its official announcement on a Solana-based launchpad, managed only a modest $7,489 in market capitalization. This failure comes amidst a broader trend of declining value in memecoins, particularly those backed by political figures, like the Trump and Melania Trump memecoins. These coins have seen significant losses, with the Trump token down 76% and the Melania token down 90%, reflecting the volatile and high-risk nature of celebrity-linked cryptocurrencies.
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