On‑chain analysis ties YZY sniper activity to earlier LIBRA extraction, analysts say
On‑chain investigators and analytics firms say wallets that executed high‑speed “sniper” trades during the launch of Ye’s YZY token appear linked to addresses previously involved in large withdrawals around the LIBRA launch, suggesting the same operator or a coordinated group captured tens of millions in gains across both events.
The YZY token—announced by Ye on X and launched on Solana—rocketed to an estimated $3 billion market capitalization within about 40 minutes before dropping substantially, according to on‑chain trackers. Analytics posts flagged several wallets that secured heavily discounted allocations at launch, then sold into the spike, producing rapid, large profits for a handful of addresses.
One widely cited example is a wallet identified by Lookonchain (tagged 6MNWV8 in public threads) that reportedly bought YZY early and later realized more than $1 million in quick gains after the token went live. Other early buyers—some funded from addresses that previously moved LIBRA proceeds—similarly booked multi‑million dollar returns, raising questions about advance access to contract details or coordinated prepositioning.
Researchers point to structural similarities between the two launches as an enabling factor. In both cases, pools and distribution methods left concentrated control in the hands of insiders (large allocations and, in YZY’s case, a liquidity pool seeded only with the token itself), which can allow those with privileged knowledge or prepositioned funds to extract value quickly once trading begins. Analysts have compared the mechanics and outcomes to prior controversial memecoin launches.
On‑chain tracing and analytics platforms report that proceeds from those early trades were consolidated into treasury‑style wallets and moved through various on‑chain routes and venues thereafter. Firms emphasizing caution note that while on‑chain flows indicate coordinated behavior and concentrated profits, attribution to specific individuals remains subject to further investigation.
Market observers say the episode highlights persistent risks for retail participants in fast launches: opaque allocations, single‑sided liquidity setups, and the potential for bots or actors with privileged information to capture outsized returns. They urge greater transparency in token distribution and launch mechanics to reduce the odds of repeat incidents.
