In a dramatic confrontation on X (formerly Twitter), crypto sleuth ZachXBT has accused popular crypto influencer Ansem of promoting a series of memecoin “pump and dumps” to his large following. ZachXBT, known for his investigative work tracking bad actors in the crypto space, called out Ansem for allegedly using his substantial influence to hype up low-market-cap Solana memecoins, potentially manipulating prices and leading his followers to lose money.
The Exchange: ZachXBT vs. Ansem
The back-and-forth started on October 5, when ZachXBT shared his thoughts about memecoin influencer Murad Mahmudov’s speech at Token 2049, which discussed a potential “Memecoin Supercycle.” ZachXBT accused Mahmudov of promoting low-cap memecoins instead of providing legitimate insights into the market, and soon extended these accusations to Ansem, a prominent trader and crypto influencer with over 507,000 followers on X.
ZachXBT criticized Ansem for promoting “hundreds” of low-cap memecoins, calling it a form of manipulation that exploits followers. He suggested that Ansem’s promotion of these coins was not about offering real market analysis but about using his influence to push coins with little to no real utility, just to generate profit in the short term.
ZachXBT’s Argument:
“If you resort to promoting new low-cap memecoins every few days to followers as a large account, it’s because you have no edge and have to use your followers instead,” ZachXBT stated, implying that Ansem’s strategy was not based on genuine market insight, but rather the ability to move markets through social media influence.
Ansem fired back, questioning why discussing low-cap coins was viewed as “grifting.” He also pointed out that he had been responsible for calling out Dogwifhat (WIF), a memecoin with a $100,000 market cap, which later soared to a peak valuation of $4.8 billion in March. He argued that this was a far more successful pick than promoting a utility-based token like Chainlink (LINK), which had significantly underperformed against Bitcoin in 2023.
ZachXBT’s Response
ZachXBT wasn’t impressed by Ansem’s defense, accusing him of having promoted “hundreds” of low-cap coins, including tokens like BODEN, HOBBES, ZEUS, and WYNN, which are themed around political figures and pop culture. He specifically pointed out that many of these tokens had lost 98-99% of their value from their all-time highs, further suggesting that Ansem’s actions were contributing to a broader pattern of pump and dump schemes.
- BODEN, a Joe Biden-themed memecoin, is down 99% from its all-time high in April.
- HOBBES, ZEUS, and WYNN have also lost around 98% of their peak value.
Memecoin Debate: Worthless Tokens or Investment Gold?
The larger issue at play is the growing debate over memecoins in the crypto space. Proponents of memecoins, such as Dogecoin (DOGE) and Pepe (PEPE), argue that these structurally worthless tokens can outperform utility-based assets, offering outsized returns to investors. In contrast, critics—like ZachXBT—claim that memecoins are “extractive” by nature, designed to enrich insiders and early investors while leaving retail traders (the general public) holding the bag when the price inevitably crashes.
Ansem, however, pushed back against critics, claiming that retail investors are simply attracted to low-cap memecoins because that’s what people are interested in trading. He argued that “low cap garbage” has dominated 90% of retail interest in crypto over the past year, underscoring the demand for high-risk, high-reward assets among the broader crypto community.
A Growing Controversy in the Crypto World
Memecoins have become one of the most divisive topics in the crypto industry. Memecoin advocates like Ansem argue that, despite their lack of utility, these coins provide quick and significant returns, attracting speculative traders. Critics, however, point out that these coins often have no real value and are often used by insiders to manipulate prices, leaving late investors with losses as the prices crash once the “pump” is over.
The controversy surrounding memecoin promotions is also a growing issue for regulators, who are increasingly scrutinizing the space for market manipulation. Many in the crypto community are concerned about the ethical implications of promoting assets with little-to-no utility, and how this may tarnish the reputation of the industry as a whole.
Conclusion: The Pump and Dump Allegations
The ongoing conflict between ZachXBT and Ansem has highlighted a deeper issue within the crypto space: the influence of social media personalities on the market and the potential risks associated with following these figures in speculative trading.
As memecoins continue to capture the imagination of retail traders, the debate over their legitimacy and impact will likely continue. While Ansem’s followers may enjoy quick profits from these trades, the risks are apparent—especially when some of the tokens promoted have plummeted in value shortly after reaching their peaks. For now, the battle between the memecoin enthusiasts and crypto investigators like ZachXBT remains a heated one, with questions about market manipulation, retail protection, and ethical trading at the forefront of the conversation.
