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Crypto Scandal: Meteora Co-Founder Resigns Amid Insider Trading Allegations

Coin WorldTuesday, Feb 18, 2025 3:35 am ET

1min read

Ben Chow, co-founder of Meteora, a Solana-based DeFi platform, has resigned amid allegations of insider trading involving the Libra meme coin. The controversy has sparked an independent investigation by Fenwick & West and calls for higher ethical standards in the crypto industry.

The crypto community has reacted strongly to the allegations, demanding transparency and accountability to prevent further speculative and fraudulent token launches. Meteora is now searching for new leadership following Chow's resignation.

The Libra meme coin, endorsed by Argentine president Javier Milei, has been at the center of the controversy. Kelsier Ventures CEO Hayden Davis claimed that Libra's team engaged in insider trading, sniping their token at launch. Chow denied direct involvement with Libra beyond IT support but admitted referring Davis and Kelsier Ventures to multiple projects as token deployers.

A video posted by SolanaFloor on X appeared to capture a conversation between DefiTuna founder Dhirk and Chow, in which Dhirk alleged witnessing Kelsier team members engaging in token sniping. Chow expressed his intention to step down in response to the revelations.

The scandal has sparked broader discussions within the crypto space regarding ethical standards in token launches. Industry leaders have called for stricter regulations to safeguard retail investors and prevent predatory practices in the sector. The events of this week have raised awareness around the urgent need for accountability and ethical conduct within the crypto space.

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