ZachXBT Announces Suspicious MemeCore Withdrawals on Kraken

On April 20, a very popular on-chain investigator, ZachXBT, raised serious questions about the very popular cryptocurrency exchange, Kraken, which shook the entire cryptocurrency community. On April 20, ZachXBT raised questions about how the cryptocurrency exchange decided to list the MemeCore M token for spot trading on July 3, 2025.

Why Kraken List Million dollars (Memecore) on July 3, 2025 For the patch and how did it pass due diligence?

$7.9 million in suspicious Kraken withdrawals to 18 newly created addresses with 11.7 Million dollars Total sitting (worth $39.8 million now).

Insiders manipulated the price to a market cap of $6 billion (US$18 billion)… pic.twitter.com/pL7oroZ4lJ

– ZackXPT (@ZackXPT) April 20, 2026

ZachXBT questions Kraken’s due diligence on MemeCore(M) listing.

In the detailed post on X, ZachXBT mentioned suspicious movements worth millions of dollars in M ​​tokens around the time of the listing. He noted that insiders may have used the listing event to push the token price much higher. The token’s market cap reached $6 billion and a fully diluted valuation of $18 billion during the event.

ZachXBT warned that while insiders benefit from this, ordinary traders may be left in the lurch once the price corrects.

The investigator in the series breaks down his findings in simple terms for everyday traders to understand. He first mentioned significant withdrawals coming from Kraken exchange. Approximately $7.9 million worth of M tokens were withdrawn from the exchange to 18 different new wallet addresses shortly after or around the listing. These wallets now hold about $11.7 million worth of tokens, and the current value of this holding is about $39.8 million.

Look at the on-chain liquidity Million dollars lol icon pic.twitter.com/hMYCUmD8Dx

– ZackXPT (@ZackXPT) April 20, 2026

ZachXBT also reported on internal deposits that occurred on the same day as the listing. A wallet suspected to belong to the MemeCore team, which received 200 million M tokens at launch, sent 5.3 million tokens directly to two Kraken deposit addresses on the exact same day of July 3, 2025. This timing raised questions about whether the team had prior knowledge or special access around the listing event.

Kraken is one of the largest Cryptocurrency exchanges For immediate trading. It is one of the few major exchanges to offer spot trading for M, and ZachXBT says this has helped enable price manipulation. The availability of spot trading on a major platform like Kraken gives the token a level of legitimacy and access that many smaller tokens do not have.

ZachXBT also noted that there was a significant gap between the project’s public updates and its market evaluation. The MemeCore team’s recent updates mostly talk about $66 million in trading volume on their launchpad and thousands of users gained through paid incentive campaigns. According to him, the team has not shown much real progress in the product that would normally justify a huge market capitalization.

In the last post on X, the on-chain investigator asked the Kraken exchange directly. He asked why the cryptocurrency exchange decided to list M tokens for spot trading, and how the token passed the exchange’s due diligence checks.

Despite these serious allegations about insider trading at the leading cryptocurrency exchange, MemeCore’s price rose by about 3%, increasing its value to $3.54 with a market cap of $4.58 billion, according to CoinMarketCap.

MemeCore is a leading layer-one blockchain designed for “Meme 2.0”. While traditional memecoins rely solely on temporary hype, MemeCore wants to change that by turning online memes into real communities with economic value. It has a native token called M, which users use to pay fees, participate, vote, and earn rewards. The project also has features like MemeX. It’s an easy no-code launchpad for new meme icons. The project recently received recognition from Grayscale.

Read also: Aave Hit By KelpDAO rsETH Hack, Aave Price Slips Below $100