Ben Chow, a co-founder of Solana-based Meteora, known for launching tokens like TRUMP and Melania, has resigned amid insider trading allegations. This follows the dramatic crash of LIBRA, a crypto associated with Argentine President Javier Milei, which lost over 90% of its value shortly after launch.

Meow, the other co-founder of Meteora and Jupiter exchange, tweeted confirming Chow’s resignation, citing poor judgment as a project leader recently.

Decrypt has reached out to Chow and Meow for comments, but has not received a response.

The LIBRA token’s sudden price drop has sparked accusations of insider trading. Analysts have highlighted unusual wallet activity, suggesting insiders might have sold tokens at the peak price.

Meteora, which provided technical support for the LIBRA launch, is now facing scrutiny due to these allegations.

Chow’s departure and the search for new leadership highlight ethical concerns around high-profile token launches and their broader impact on the crypto space.

Meow has stated that neither Jupiter nor Meteora were involved in insider trading or financial misconduct related to the LIBRA launch.

Jupiter admitted knowing about an “Argentina Coin” launch, but claimed ignorance of specific details beforehand.

Meteora has reportedly been operating independently from Jupiter for over a year, with Chow leading the platform.

Chow has addressed the situation on X, but hasn’t issued a formal statement yet.

Initially, Chow tweeted that Meteora’s role in the LIBRA launch was limited to technical support as a permissionless platform, denying access to tokens or Milei.

He stated Meteora doesn’t control pool creation or token launches on its platform.

However, Chow later walked back his initial statement, acknowledging questions about Meteora’s involvement with LIBRA and other token launches.

Chow explained his connection to Hayden Davis of Kelsier Ventures, involved in launching LIBRA, TRUMP, and MELANIA meme coins.

Chow mentioned recommending Hayden Davis to other projects based on trust built during the successful M3M3 token launch.

In response to community concern, Meow announced an independent third-party investigation by law firm Fenwick & West to address the allegations and ensure transparency.

Reactions to Chow’s resignation are mixed, with some, like Kash Dhandha from Jupiter, defending him as making “strategic mistakes” rather than acting with misconduct.

LIBRA’s market capitalization rapidly reached $4 billion before collapsing by 91%, increasing suspicion of market manipulation.

The LIBRA fallout has led to impeachment calls and legal action against President Milei for allegedly promoting the token fraudulently.

Source: decrypt.co