Coinbase’s Base Network | $16 Million Pump and Dump Sparks Outrage
Coinbase's Base network is under fire following a controversial meme coin promotion that led to a staggering market cap surge of $15-$20 million before a rapid collapse, resulting in losses over 99% for many investors. Critics are questioning the platform’s diligence and risk management.
What Happened?
On April 17, 2025, the Base Layer 2 network allegedly ignited a major pump and dump scheme centered around a meme coin called "Base Is For Everyone." Users saw the token’s value soar, only to crash spectacularly due to a liquidity wipeout. The official promotion from their Twitter account is raising serious integrity concerns within the exchange.
"Who would have thought a meme coin might not have any functional value?" highlighted one concerned community member.
User Reactions
Reactions from the community remain predominantly critical:
Outrage and skepticism: "The scam that never stops" is a recurring sentiment among many expressing frustration with the crypto market's unpredictability.
Concerns about functionality: Comments emphasized the coin is merely a collectible, lacking any investment value, further criticizing its classification and usability.
Legal action potential: Discussions around class-action lawsuits against both the coin and the exchanges ramp up as participants push for accountability.
Interestingly, a user pointed out, "The coin was simply a collectible minted as a picture on Zora." This emphasizes the importance of understanding the nature of such coins, noting their risk as purely artistic, thus mitigating expectations of returns.
Broader Implications
This incident underscores ongoing market manipulation challenges and catalyzes demands for robust protections against deceptive practices. Interestingly, the subsequent launch of another token by Base added to the price drop of the original meme coin, enhancing consumer discontent with the exchange's management strategies.
Key Takeaways
🔴 99% value loss within minutes post-pump and questions abound about the governance behind these dealings.
🔼 “Good times” referenced a new token launch that amplified losses, intensifying community outcry.
⚖️ Potential legal actions may arise as users seek accountability within the crypto trading landscape, questioning the defenses of exchanges involved.
While doubts and frustrations grow, Base has yet to respond publicly regarding these serious allegations. With users' investments hanging in the balance, many are left pondering their future in such speculative markets. Vigilance and caution seem vital when navigating these waters.