The hacker took advantage of the platform by posting about a memecoin called $MEOW, which quickly surged past $20 million in market value before the liquidity pool was drained, leaving investors unable to sell. The name seemed to be a play on Jupiter’s co-founder, Meow. Soon after, the hacker promoted another token, “DCOIN,” adding to the chaos.
Jupiter DAO quickly warned users not to click on any suspicious links or engage with scam content. The impact on JUP’s market was immediate, with prices dropping 12% from $0.85 to $0.75 within minutes. Trading activity spiked, JUP/BTC and JUP/ETH volumes shot up 300%, while active transactions rose by 40%.
The damage wasn’t limited to Jupiter’s ecosystem. Uncertainty spread across the altcoin market, causing further declines. By 11:00 AM UTC, JUP had slipped to $0.71, with its relative strength index (RSI) hitting 30, signaling it might be oversold and due for a rebound. At the same time, large transactions over $100,000 increased by 25%, suggesting that some big players were taking advantage of the dip.
Jupiter’s founder, Meow, later confirmed that the attack came from a U.S.-based IP address. At the time, a key team member, Mei, was unreachable because she was traveling back to Singapore from Mountain DAO due to a family emergency. As a result of this incident, traders are advised to remain cautious, disregard scam posts, and not trade in faux memecoins. This incident serves as a reminder of the persistent threats centralized platforms face and underscores the importance of enhanced security protocols in the crypto sphere.
