• Bald Network developer transferred 7,000 ETH ($12.9 million) back to Ethereum after a mess up.
• Bald had reached a market capitalization of $80 million before events caused the token price to fall by 90%.
• The deployer had previously contributed up to $35 million worth of ether to a liquidity pool on the Base network-based exchange Leetswap.
Bald Network Developer Transfers 7,000 ETH Back to Ethereum
The mysterious creator of bald (BALD) recently transferred $12 million in ether (ETH) back to the Ethereum network. Bald had reached a market capitalization of $80 million prior, however, events caused the token price to drop by 90%. The data was published by analytics company Lookonchain and 2,100 ether were deposited on Kraken exchange afterwards.
Why Did Bald See Such Rapid Growth?
A popular tweet about a trader who turned $500 into hundreds of thousands of dollars caused Bald’s popularity and token prices to increase exponentially within days. Investors looked for opportunities in an otherwise stagnant crypto market and this resulted in almost $66 million in ether (ETH) being invested into the project. At its peak, bald prices reached 0.02795 before dropping suddenly due to the deployer removing millions of dollars worth of liquidity from the project.
What Was the Impact?
The sudden removal of liquidity affected investor sentiment and many decided to withdraw their funds from the project as soon as possible. This lead to a crash in prices which saw them drop by 90% from its peak value – resulting in significant losses for investors who entered near its all-time high.
How Much Was Contributed To Liquidity Pool?
Prior to this event taking place, it has been reported that up to $35 million worth of Ether was contributed by the deployer towards Liquidity Pool on Base Network Exchange LeetSwap – giving an impression that the project may develop into something bigger such as SHIB but unfortunately did not last long enough for that outcome.
Although it appears that fortunes have not favoured investors with this particular venture, it is still important for all cryptocurrency participants to be aware when trading and investing due diligence must always be done so as not risk large amounts unnecessarily without knowing what potential risks may arise if things don’t go your way at any given time!