Owner of a little-known cryptocurrency earned more than $ 3 million in a month

Editor’s note: not financial advice!

A crypto trader managed to earn $ 3.4 million by investing in a new memecoin launched on the basis of Coinbase 's second-tier Ethereum (ETH) scaling solution, Base. By purchasing $ 113,000 worth of Degen (DEGEN) tokens, the investor increased his profit to $ 3.4 million.

According to Lookonchain, a blockchain tracking company, the trader exchanged 38 Ethereum (ETH) for about $ 113,000 of Base before starting his activity. Subsequently, on March 2, he bought 85.36 million Degen (DEGEN) for 31.6 ETH (about $ 108,000).

Later, the trader sold 72.73 million DEGEN for 2.83 million USDC, keeping 12.6 million DEGEN, which are now worth $ 600,000. As a result of the stunning market turnaround, the token’s value increased by more than 4400% last month. Well-known investors are still buying DEGEN, which shows a strong belief in the market.

The shift from Solana to Base meme coins marks a key trend change. Analyst Rect Fenser, who used to make money on Solana meme coins, now advocates Base tokens, citing their potential for significant profits. In addition, Coinbase plans to launch services that will allow its 100 million users to trade Base seamlessly, which will further increase the platform’s attractiveness.

Just a few days ago, it became known about a user who made a 308-fold profit by using 3 ETH worth $ 6991 in January to purchase Degen (DEGEN). Wealthy investors continue to accumulate Degen and make huge profits, according to Lookonchain.

The DEGEN token, which launched on Base in January, is the first memtoken to take off on Farcaster, a blockchain protocol for building social networks. According to the memecoin’s website, the project aims to provide users of the Farcaster ecosystem with the opportunity to reward those who «publish quality content» and bridge the «gap between online contributions and real value.»