While controversial listings and transparency issues remain a prominent topic in the cryptocurrency market, on-chain analyst ZachXBT has made noteworthy claims regarding the “M (Memecore)” token.
The analyst questioned Kraken exchange’s process for listing the M token on the spot market on July 3, 2025, raising questions about how the project passed the necessary reviews.
According to data shared by ZachXBT, suspicious outflows totaling $7.9 million were detected from Kraken to 18 newly created addresses. The current value of the total assets in these addresses is estimated to be approximately $39.8 million. The analyst suggested that these transactions may have been carried out by individuals within the project for the purpose of price manipulation.
Allegedly, these groups, described as insiders, drove the token price to a market capitalization of approximately $6 billion (approximately $18 billion on an FDV basis). ZachXBT noted that Kraken is one of the limited number of platforms that listed the M token spot, and highlighted that the project’s biggest achievements to date have been the $66 million in transaction volume achieved on a launchpad and the number of users acquired through incentivized campaigns.
On the other hand, market analyst MLM argued that the supply data for the M token may be misleading. According to MLM, the circulating supply data shown on platforms like CoinMarketCap and CoinGecko does not reflect reality. Although the project’s own data shows 1.29 billion tokens in circulation, it is stated that only approximately 230 million tokens have actually been unlocked. This situation could create a false market perception for investors, it was added.
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Estimates based on on-chain analysis suggest that approximately 99.6% of the token supply is controlled by insider wallets. The distribution is largely shared between Binance Alpha wallets (48.85%), insider clusters (23.46%), and genesis team wallets (25.82%), with the remaining small portion held by addresses associated with Meson Finance and Kraken.
According to this table, the amount of tokens held by non-insider investors is approximately 9.7 million, representing only 0.1% of the total supply. At a valuation level of around $35 billion, the actual free supply in circulation is extremely limited, which could significantly impact price formation.
ZachXBT, in its assessment, urged investors to be cautious about such projects, stating that the data in question were estimates based on on-chain analytics but clearly presented the overall picture.
*This is not investment advice.
