Solana is in scrutiny. Crypto Bitlord, a prominent figure in cryptocurrency circles, has ignited controversy. He claims Solana is under investigation. The allegations have sent ripples through the crypto community.
"We are hearing rumors that SOL is under investigation," Crypto Bitlord posted on X.
He added that a "huge case" may soon become public, and noted these rumors have been circulating for weeks.
The Solana community has reacted with skepticism. Many dismiss the claims as baseless. They go as far as to claim that Crypto Bitlord might have ulterior motives. Another labeled it the "FUD of the decade."
Crypto Bitlord acknowledged the backlash. He commented on the "cope and denial" in the responses. He expressed concern for retail investors potentially losing money.
That's not the first story of this kind we've heard recently. Ethereum recently faced similar speculation. The SEC had investigated three unnamed companies for potential securities violations.
Consensys, a key player in the Ethereum ecosystem, sued the SEC. They alleged regulatory overreach. The suit claimed SEC Chairman Gary Gensler was attempting to classify ETH as a security.
However, the SEC has since dropped its investigation into Ethereum. Consensys announced this as a "major win" for Ethereum developers and industry participants.
Solana's price reacted to the investigation rumors. And the reaction was pretty negative, SOL dropped nearly 8% to $124.
The rumors coincide with bullish developments for Solana. And that looks very strange. 3iQ has applied to launch a Solana Fund in Canada. Crypto investor Brian Kelly suggested Solana could be next for a spot ETF in the US.
Crypto Bitlord's credibility has been questioned. He was involved in a controversial project called MOLLY. The project raised $5 million before its value plummeted, leading to accusations of fraud.
