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Crypto Millionaire Highlights Rumors Solana Under Investigation, What’s Going On?
Rumors are circulating Solana (SOL) as Crypto Bitlord, a well-known figure in the cryptocurrency world, suggested on X that the cryptocurrency may be under investigation. This speculation, he claims, has been going on for weeks and could soon become public, potentially causing significant repercussions for Solana.
Is Solana under investigation?
Crypto Bitlord posted: “We are hearing rumors that $SOL is under investigation.” Furthermore, he noted that “a huge case is about to go public.” He added: “This situation has been brewing for weeks now and it couldn’t come at a worse time. If what we heard is true, start praying for Solana.”
The recent comment has sparked considerable skepticism in the Solana community. Crypto Bitlord highlighted this and said, “I have already seen a lot of resistance and denials in the comments.” Addressing the concerns, he added: “It’s sad when ordinary people get caught up in things they don’t understand and lose money.”
The latest speculation surrounding Solana’s investigation mirrors the recent scrutiny of Ethereum (ETH). After the U.S. Securities & Exchange Commission (SEC) closed its 14-month investigation into Ethereum, Solana rose to prominence amid debates over the state of security. However, these debates were short-lived and did not gain much attention until the latest speculation erupted.
Amid these rumors, Solana’s price plummeted nearly 8% to $124. The drop may not be directly linked to the rumors but may have been influenced by them, along with other market factors. Additionally, SOL suffered a massive sell-off. According to Coinglass, Solana saw a long liquidation of $10.75 million as panicked investors sold off to mitigate losses.
Furthermore, Shiba Inu Marketing Manager Lucie also raised concerns around the Solana community on X. She said: “Celebrity accounts posting SOL addresses left and right are probably hacked. PLEASE BE WISE and don’t get scammed.” These events have intensified scrutiny on the Solana ecosystem, but do not confirm the rumors spread by Crypto Bitlord.
About Crypto Bitlord
Crypto Bitlord has a notable history in the cryptocurrency space. He was one of the first contributors to the Ethereum ICO, adopting Bitcoin in 2012. He has also supported projects such as ADA and Dot / KUSAMA since their inception. Additionally, his knack for spotting early trends includes backing billion-dollar meme coins like Shiba Inu (SHIB)
Floki (FLOKI) and Pepe Coin (PEPE).
Despite this, his reputation was tarnished by a carpet controversy. In November 2023, she raised $5 million for a mystery project (MOLLY) that quickly plummeted in value, leading to accusations of theft. The legitimacy of the rumors about the Solana investigation is therefore called into question.
Read also: Solana Executive Explains How ZK Compression Reduces On-Chain Storage Costs by Over 99%
SEC abandons Ethereum probe
In contrast, Ethereum has recently seen a positive turn of events. Earlier this month, ConsenSys, an Ethereum software company, contacted the SEC regarding the status of its investigation into Ethereum 2.0. In a letter sent earlier this month, ConsenSys asked for clarity on whether approval of a Spot Ethereum ETF would result in the ongoing investigation being closed. Additionally, ConsenSys later announced that the SEC had closed its investigation into Ethereum 2.0.
This confirmed that ETH sales are not considered securities transactions. ConsenSys said: “Today we are pleased to announce an important victory for Ethereum developers, technology providers and industry participants: the SEC’s Enforcement Division has notified us that it is closing its investigation into Ethereum 2.0.”
Furthermore, the closure of the Ethereum investigation is seen as a victory. However, it also highlights the ongoing regulatory challenges faced by the cryptocurrency industry. ConsenSys emphasized that clear guidelines are essential for the advancement of cryptographic technologies and innovations.
Meanwhile, rumors about Solana emerge during 3iQ’s Solana Fund filing in Canada, which claims to be the first SolanaETP in North America. Therefore, this situation reflects Ethereum’s regulatory challenges, which have led to a cautious approach among industry participants.
Read also: ETH price reversal soon as Ethereum ETF arrives in two weeks