Class-action targets Meteora and Kelsier execs over $69m M3M3 token crash

Decentralized Exchange Meteora, based in Solana, faces a collective appeal which accuses affiliated parts of orchestrating a fraudulent launch of the M3M3 token, resulting in alleged losses of investors.

A April 21 deposit In the American district court for the southern New York district, brought on behalf of the affected investors, alleys that Meteora, its CEO Benjamin Chow, the venture capital firm Kelier Labs, and the leaders of Hayden, Gideon and Charles Thomas Davis induced the public in error on the launch of Token of $ 3M3 and to a bonus.

According to the complaint, the initiates behind the project have quietly obtained 95% of the $ M3M3 token offer using a network of more than 150 wallets.

They then limited access to public buyers during the early negotiation window, locked retail investors while inflating the price through internal trades.

Once the price has increased, the initiates were accused of emptying their assets on the market, triggering a net accident in a few days.

The trial indicates that the project was presented as a solution to the “pump-And-nump” culture distressing the pieces even, Chow promoting $ M3M3 as a secure token and supported by the poles with a long-term value.

Investors have been informed that the launch would be transparent and opened, and that awards of puncture would come from transaction costs on Meteora itself, affirms that the complainants now claim were deliberately misleading.

The prosecution claims that this coordinated regime has led to more than $ 69 million in damages, as non-inventive investors joined media threshing to see the value of the token collapse in the days following its launch on December 4. The net slowdown would have started on December 6, shortly after the initiates discharged their chips.

The complainants allege that the defendants made calculated efforts to regain investors of confidence after the crash by artificially refining the value of the token, but these attempts have failed to restore long -term stability.

They also claim that the defendants deliberately hid their identities and their affiliations during the offer, creating the illusion of a fair launch and focused on the community.

Meteora and Kelier Labs have already been in hot water this year, with their names linked to the balanced token accident that has destroyed millions.

During the scandal of the balance, The initiates were accused of using private liquidity structures To remove the summit, leaving blind regular merchants. The same teams were also linked to Melania, another same launch of the same which ended with losses for retail buyers.

Chow a since resigned From his role at Meteora, following allegations according to which he received or managed private balanced tokens.

The costume of April 21 claims that the launch of M3M3 followed the same manual. As such, the applicants ask the court to appoint a Meteora sequestration to supervise its operations and protect the remaining assets.

They also put pressure for memes tokens based on pages like $ 3M3 are officially classified as titles.

“The complaint asks the court to classify tokens even based on interests such as titles and to appoint a recipient on Meteora, measures that could influence the way any new celebrity or political token is put on Solana market”, according to Max Burwick of Burwick Law, one of the lawyers representing the group of investors.

Burwick and his company before has filed a separate collective appeal On March 18, targeting Kelers Ventures, Kip Protocol and Meteora on their alleged roles in the scandal of the Balance tokens.