TL;DR
- The Omni Network token (OMNI) experienced a 56% drop in its value after an airdrop and its listing on exchanges.
- The airdrop distribution resulted in a decrease in the token’s value, dropping from $53 to $23 within 24 hours.
- There was a scam involving a fake token called OMNI, which ended in a rug pull, exacerbating the drop in the original token’s value.
The Omni Network token (OMNI) has seen a tremendous 56% drop in its value following an airdrop and its listing on exchanges. The sudden plunge occurred after investors massively dumped the token in the market. According to CoinGecko data, the token’s value fell from $53 to $23 within the last 24 hours.
The airdrop distribution began on Wednesday at 11 am UTC, during which approximately 3% of the total token supply, amounting to 100 million, was distributed to early adopters and community members. However, just one hour after its distribution and listing on exchanges like Binance, ByBit, Bitget, and KuCoin for trading, its value dropped by 30% to around $39 from the initial $53.
Firstly, Omni’s decline coincided with the general bearish trend in the crypto market, which saw Bitcoin and Ethereum fall below certain levels before a slight recovery. But the crucial factor was a scam. Criminals took advantage of the Omni launch by creating a fake version of it, called OMNI, to deceive investors, and it lost 100% of its value after a rug pull.
The Fake OMNI Joins the List of Rug Pulls
This incident is not the first of its kind. In the past, fraudulent projects have carried out rug pulls, a tactic in which developers abruptly withdraw liquidity from a project, leaving investors with no chance of recovering their investment. For example, last year, Magnate Finance conducted a rug pull resulting in a $6.5 million loss for users. Similarly, in March 2024, the OrdiZK project executed a rug pull, resulting in a $1.4 million loss for investors.
Within this industry, scams are commonplace. We want to emphasize the importance of conducting thorough research before investing in any project and maintaining best security practices, so that each user can protect their assets.
