World Liberty Finance continues to surprise the crypto community with non-obvious and, to put it mildly, unconventional investments. This time around, the fund's portfolio - closely linked to Donald Trump - has added the relatively new BUILDon meme token (ticker B), developed by the BUILDon team with the stated mission of promoting the USD1 stablecoin.
The purchase of the token was presented as a 'sign of support for the team', but raises more questions than answers. Especially in light of the fund's previous transactions, which have included projects such as Movement (MOVE), Ondo Finance (ONDO) and EOS (Vaulta) - some of which were sold at a loss after a short-lived pump.
Why did World Liberty Fi bet on BUILDon?
BUILDon is a new player in the market, but already with an ambitious agenda. The project is built on the BNB Smart Chain and declares its intention to expand the adoption of the stablecoin USD1, issued by World Liberty Finance. Despite its status as a meme token, the BUILDon team presents itself as a technology project with 'tools of the future', but details about it are vague to say the least.
Insider trading or mere coincidence?
The on-chain data raises strong doubts about the token's organic authenticity. Analysts at BubbleMaps have identified a cluster of interconnected wallets, each of which formally holds only about 0.37% of the issue, but which collectively control up to 20% of all B tokens. At the same time, there is no evidence that the team is directly connected to these wallets.
While this is not a huge sum compared to the fund's other investments, it makes World Liberty Finance the second largest holder of BUILDons on the BNB Smart Chain network.
Spring in whale volumes and activities
Simmediately after the fund's participation was announced, there was a sharp spike in the market: volumes and volatility increased, followed by suspicions. One major trader cashed in over $1 million profit using an aggressive scalping strategy. At the same time, at least 20 top traders used suspiciously similar tactics: they entered with $1.8 million and exited at $2.7 million.
This scenario suggests a concerted action or pre-agreement trading, i.e. a 'coordinated liquidity extraction' from the pool. All this against a backdrop of low organic community initiative and low holder activity.
Have you seen it before? The MELANIA case
The BUILDon affair is reminiscent of the recent scandal related to the MELANIA token, also connected to World Liberty Finance, which triggered speculation about insider information. The structure of the deal, the timing and the media spike appear too well orchestrated to be coincidental.
Curiously, only a few days earlier, representatives of the fund had publicly denied rumours about the launch of its own meme token. In this context, the acquisition of BUILDon appears not only suspicious, but a shadowy action, clearly not intended for the general public.
The token grows... and then collapses
BUILDon was launched on 16 May at a price of $0.004, and rose as high as $0.30 in a single week, before beginning a sharp retracement. Activity on the token has now strongly declined, and most indicators suggest a loss of interest. Moreover, it is possible that the initial growth was not the result of real demand, but of coordinated action by the large holders.
One peculiarity of BUILDon is the trading in pairs with USD1, with $2.5 million in liquidity locked up. This could indicate either a real attempt to push USD1 into the DeFi ecosystem, or the building of 'fictitious' confidence through only apparent liquidity injections.
