The rapid rise of meme coins in March has turned many into millionaires almost overnight. While this trend can signal positive market sentiment, it has also led to financial losses for some investors. Recently, Lookonchain highlighted the story of a new millionaire in the crypto world.

Investor's Initial Meme Coin Purchase

An unnoticed investor made a significant purchase in the decentralized finance (DeFi) ecosystem. This trader, using the address starting with ‘0x8EF73’, bought 27.05 billion PEW coins on the Ethereum network for 3.2 ETH, which was worth $12,300. Identified on May 31, these transactions caught the attention of Lookonchain.

Early Profits and Strategy

The investor initially sold 8.05 billion PEW coins for 83.5 ETH, making about $315,000. This early sale brought an impressive profit of over $300,000. Currently, the account still holds 1 billion PEW coins valued at $61,000. Furthermore, the trader safeguarded his assets by spreading 18 billion PEW coins across 15 different addresses. The first purchase was made just three minutes after PEW was listed on Uniswap, a decentralized exchange on Ethereum.

Challenges in Liquidating Meme Coins

On another note, the total locked value (TVL) of the meme coin "pepe in a memes world" (PEW) on Uniswap is only $7.5 million. This figure shows the liquidity available for trading PEW with other ERC-20 tokens on the platform. If the investor decides to cash out in the near future, it could impact PEW’s price significantly. However, it’s crucial to note that the investor has already secured a substantial profit.

Conclusion

While the journey of this investor showcases the potential for significant gains in the volatile world of meme coins, it also highlights the challenges of liquidity and market impact. The story serves as both an inspiration and a cautionary tale for other traders in the cryptocurrency space.