Crypto Loss Record: Here’s How $1 Million Turned Into $9,000 In 1 Hour

Crypto trading offers incredible opportunities. But it also comes with significant risks, especially when it comes to newly created and unproven tokens. The recent story of a trader who invested about $1.03 million in a meme token called MBAPPE perfectly illustrates these dangers.

Someone created a new wallet and spent 7,156 $SOL($1.03M) to buy a #MEMEcoin named $MBAPPE in a single transaction, which is now only worth $9.2K.

This person lost more than $1M in just 1 hour!😱https://t.co/IKsUN14km1 pic.twitter.com/kTF6SQCKT4

— Lookonchain (@lookonchain) August 29, 2024

A trader’s crypto disaster: The fault of the MBAPPE memecoin?

This trader invested 7,156 SOL in a newly created crypto token: the MBAPPE token. Launched on the Solana blockchain, this crypto asset attracted attention due to its association with the football celebrity Kylian Mbappé. Unfortunately, his X account was hacked to promote this scam.

Unfortunately for this trader, the value of the MBAPPE crypto asset plummeted dramatically within an hour. Result: his initial investment was reduced to $9,000. Thus, he lost over 99% of its original value.

Meanwhile, another trader turned a modest $29 investment into $125,000 in just three minutes by trading the MBAPPE token.

Crypto scam or mistake? What lessons can be learned from this story?

The story of this unlucky trader highlights several important lessons for those investing in the crypto market.

• Never invest money you cannot afford to lose (especially in newly created and unproven crypto tokens)
• Be wary of celebrity-related tokens or popular events (they are often targets for market manipulation)
• Do thorough research before making a crypto investment decision
• Never forget that crypto assets are extremely volatile and can lead to significant losses in a short period.

Crypto trading thus offers opportunities, but it also carries major risks. Investors must remain vigilant.