An attempt to relaunch ENRON as a crypto token ended in crash, as the new meme token was sniped and sold immediately. The ENRON project decided to go the way of decentralized meme tokens but went through a pump and crash just hours after launching.
Enron launched as promised, choosing to start with a meme token and immediate DEX trading. The new asset, ENRON, had a wild ride, pumping and crashing within hours of its trading start.
The Enron project appeared in December, claiming to revive the bankrupt corporation and its brand as a new energy company. Two months later, Enron launched a token, immediately clashing with aggressive traders and bots on Solana.
ENRON launched with significant liquidity
Even after the initial crash, ENRON carries significant liquidity for a new Solana token. One of the asset’s pools has $12.3M locked in, putting the token at $160M in fully diluted value.
At this point, ENRON attempts to shift between a legitimate utility token and a meme. The new launch with a large liquidity pool also immediately invited snipers and whale traders, who caused the initial volatility.
ENRON launched with a relatively large liquidity pool, but the token is also 92% controlled by insiders. | Source: DexScreener
ENRON traded at a peak of $0.65, crashing soon after to its current range of $0.16. After the initial entry of sniper bots, ENRON reiterated its aim to become a long-term asset, despite being treated as a meme token.
https://x.com/Enron/status/1886871534494765284
ENRON also launched at a time when the overall crypto market had another day in the red, with Bitcoin (BTC) sliding to $97,000. Despite the market drop, the most successful sniper managed to earn $843K, diminishing the available liquidity pool.
Some of the early snipers locked in their gains just minutes after the token’s launch while still retaining a significant part of their early purchase.
Is the supply of ENRON controlled?
The early and rapid reaction of snipers and their holding of early purchases means ENRON is at least at risk of more selling to realize profits. However, Bubblemaps also noted that the team may have a disproportionate share of holdings.
Based on Solana on-chain data, 92% of the ENRON supply is held by connected wallets.
https://x.com/bubblemaps/status/1886875825141628993
Those addresses had all tokens unlocked and tradeable in the first days after the launch. The token launcher sent 60% of the supply to the top address, which still holds most of the tokens. In the early hours after the launch, the wallet sold 174,999 ENRON valued at $39,399.
Another 32% of the supply was spread to 50 addresses, which remained unlocked despite the project’s claim at a longer vesting period.
In the first days of trading, the team responded to the criticism, doing away with their initial 7-day lockup. To achieve transparency and credibility, ENRON tokens for the team will be locked for six months, then released over a 12-month linear vesting schedule.
Despite the claims, crypto traders remained skeptical of ENRON, showing that snipers only had a small effect, and it may be some of the insider wallets that essentially rug-pulled some of the earlier buyers. On-chain analysis also shows the insider launchers may have also sniped another 2% of the early supply.
Is ENRON a parody meme?
The crypto-based ENRON project makes some claims at a technological future while acting like another cabal token project. The token has been flagged as partially unreliable, based on the insider holdings.
If the new Enron is indeed an energy company, this would not explain its need for a crypto token, much less one with significant insider holdings.
The project’s website tries to look legitimate, despite the outlandish claims of home-based nuclear technology. Buried in the terms of service, the new crypto project claims the site and its token are protected as parody and can only be considered performance art. As meme token traders come from younger cohorts, some may not recall the actual Enron scandal of illegal accounting practices and pumping the company’s own stock.
Enron claimed its tokenized project is performance art to avoid responsibility for launching a volatile asset. | Source: Enron.com
Despite this, the project claims it has long-term intentions, including the building of an Enron Foundation. Based on the initial tokenomics, ENRON was supposed to give 20% to the community while retaining 40% for the team, 30% for the foundation, and another 10% for liquidity pools. However, the current ownership structure is very different and resembles a risky meme token seeking exit liquidity. This time, the meme token community is on the more skeptical side, not rushing to pump ENRON again.
