In a sensational development in the crypto world, the co-founder of the decentralized exchange Meteora on the Solana blockchain, Benjamin Chow, faces a class-action lawsuit filed in a U.S. federal court, accusing him and his associates of orchestrating an elaborate fraud that used celebrity names and hype-driven meme tokens to lure unsuspecting investors.
Background
The lawsuit was originally filed on April 21, 2025 in the U.S. District Court for the Southern District of New York, and has since been amended to include further allegations. According to the complaint, Chow, Meteora, and Kelsier Ventures (a firm controlled by the Hayden Davis family) used the names of prominent public figures—including former First Lady Melania Trump and Argentine President Javier Milei—to lend credence to a series of token offerings, including the meme coins, MELANIA and LIBRA.
The Alleged Modus Operandi
The complaint details a scheme wherein:
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Chow allegedly took technical control—manipulating token supply, liquidity routing and transaction fees—enabling insiders to engineer massive price pumps, then quickly dump holdings.
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At least 95% of the supply of one token (M3M3) was reportedly held by insiders, leaving public investors with severely skewed risk exposure.
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Kelsier Ventures is said to have run social-media campaigns, influencer promotions and fabricated scarcity narratives across at least 15 separate tokens following the same blueprint.
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The names of Melania Trump and Javier Milei were allegedly leveraged for marketing — though the lawsuit makes clear that neither is accused of participating in the fraud. The brand value allegedly built around them was used to create a veneer of legitimacy.
Implications & Key Questions
This case raises significant concerns about the combination of influencer-style marketing, tokenomics manipulation and celebrity name-dropping in the speculative cryptocurrency space.
Some key questions arise:
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How can retail investors protect themselves when hype and celebrity endorsements disguise structural manipulation?
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What responsibilities do exchanges (especially DEXs) have to ensure token offerings are fair and transparent?
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Will regulators ramp up scrutiny of meme-token schemes and projects that rely on celebrity backing (real or implied)?
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What might this mean for the reputation of Solana-based token ecosystems and the broader vulnerability of meme-coins to orchestrated pump-and-dump strategies?
What To Watch
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The court case: How the plaintiffs present evidence (internal messages cited in the complaint claim that Davis admitted to “at least 15 token launches directed by Chow”).
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Whether additional enforcement actions follow, either from U.S. regulators or other jurisdictions.
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The behavior of tokens involved: price volatility, liquidity movements, insider dumps.
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Reactions from related ecosystems and whether protocols or platforms tighten governance, disclosure and de-risking requirements.
Conclusion
The lawsuit against Chow, Meteora and Kelsier Ventures underscores a stark reality in the emerging world of crypto assets: glamor, labels and social-media buzz are no substitute for transparent tokenomics, regulatory compliance and investor protection. What may have appeared as an exciting “meme token opportunity” for some investors now stands as a case study in how quickly things can unravel when underlying safeguards are absent.
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