Solana Meme Currency DORAE Crashes 99% Following Alleged Rug Pull

Lina Portman2 weeks ago

6 1 minute read

Doraemon (DORAE) is the latest meme coin to see a massive price drop following reports of a possible rug pull by the developer.

The price of the DORAE token plummeted to near zero in a matter of minutes. According to on-chain data shared by blockchain sleuth Lookonchain on Wednesday, suspicious activities have taken place involving wallets linked to the Doraemon developer.

Specifically, the developer of the Solana-based meme coin moved huge amounts of DORAE tokens to an exchange and liquidated them for Solana (SOL). The result of the sale was an immediate drop in the price of the Doraemon token. Data showed that DORAE’s value dropped by more than 99% in just a few minutes.

“Doraemon Rug ($DORAE)!” Someone dumped the $2.5 million DORAE for $10,538 SOL ($1.45 million), dropping the price by over 99%! Some on-chain data suggests this person is likely the developer,” Lookonchain posted on its X account.

On-chain data points to the developer's wallet

On-chain data shows that the wallet that dumped the new meme coin received 304 SOL worth over $41,000 from crypto exchange Kucoin.

The owner then purchased 2.5 million DORAE tokens and sold them all for 10,538 SOL worth $1.45 million. As a result, the wallet earned $10,234 SOL or $1.41 million in less than 6 hours.

“From on-chain data, it is clear that the $2.5M DORAE wallet spill is linked to the $DORAE rollout,” Lookonchain noted.

This potential traction on Solana comes as the ecosystem is seeing a surge in coins, with data on CoinMarketCap showing the sector's market cap is currently $48 billion. In total, over $4.6 billion worth of these tokens were traded in the last 24 hours alone.

Hacks and rugs attract crypto

Meme coins often experience massive volatility, with top performers skyrocketing only to see new investors looking for the next gem. Malicious actors take advantage of this to create dubious projects with no value and often they pull or dispose of buyers without their knowledge.

In a recent report, blockchain bug bounty platform Immunefi revealed that more than $473 million worth of crypto was lost to hacks and rug pulls in 2024. The blockchain security company identified 108 incidents that were produced in the ecosystem in May.