2026-01-20 04:20:47

Perpetual Contract Protocol TroveMarkets exposed issues right after launch. The project completed fundraising with a valuation of $20 million FDV, which sounds pretty good, but its performance after going live was shocking—only an additional $500,000 in liquidity.

What’s more concerning is the token distribution. The project team released about 15 million TROVE tokens all at once. The result? A large number of new wallets received between 5 million and 10 million tokens, then immediately sold them off. Single transactions ranged from $30,000 to $84,000, with no hesitation.

This pattern closely resembles early project fundraising tactics: high valuation fundraising → liquidity shortage → token oversupply → quick cash-out. On-chain analyst Specter bluntly stated that Trove has a tendency to become a project similar to "2026" (note: incomplete in the original). In other words, this is likely another cautionary example of a liquidity trap and token distribution imbalance. For participants, this is a risk signal worth paying attention to.

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MEVHunterLucky

· 10h ago

It's the same old trick again. Overhyped meme coins are really nothing new.

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PensionDestroyer

· 16h ago

Another scheme to fleece retail investors has been exposed, this time even the concealment was too lazy to hide. Trove is such a terrible project, dumping 15 million tokens all at once, with a new wallet cashing out instantly. Isn't this just the project team promoting themselves? 500,000 in liquidity... LOL. Is this "operation" or "escape"?

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FantasyGuardian

· 16h ago

Another typical move by a big project, copying with overestimated valuation is really pointless

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BlockBargainHunter

· 16h ago

I'm too familiar with this routine, it's another script for overvalued projects to fleece retail investors... 500,000 in liquidity? That's hilarious, this is just a honey pot. Oh my God, Trove has used all the tricks this time, connecting a new wallet to dump coins immediately—who would catch it here? Again with this? Overvalued valuation, low liquidity + over-issued tokens, the classic "raise funds first, then run" combo. Honestly, projects these days don't even bother pretending... it looks just like a fishing scheme, waiting for newcomers to rush in. Why do people still dare to leverage on such projects? I really don't understand.

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FastLeaver

· 16h ago

Again with the same tricks, overestimating valuation to enter, liquidity turning into a complete mess, tokens dumping. Trove's move is really top-notch, raising $20 million but only leaving $500,000 in liquidity—almost asking "How do you want to die?" --- 150 million tokens released all at once, new wallets instantly turn into cash-out machines. Isn't this just openly scamming retail investors? --- Honestly, we've seen through these kinds of projects so many times. It's nothing but hype about valuation, launching at dump prices, and token holders racing to escape. Specter is right; it's definitely a liquidity trap. --- Really, every time such a project launches, the first question should be: Where's the liquidity? How outrageous is the token distribution? Just these two data points can determine life or death. --- If Trove's move can be called creative, the only creativity is in "how to make investors go bankrupt the fastest." --- For those still thinking about participating in such projects, you really are brave.

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FancyResearchLab

· 16h ago

It's the same old trick again: overvalued financing, liquidity drying up, tokens crashing down all at once, then big players turn around and run. I'll try this smart trap first.

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GasFeeCrier

· 16h ago

It's the same old trick again, raised 20 million with a valuation, launched with 500,000 liquidity, hilarious. Trove's token distribution is outrageous, 15 million tokens dumped all at once, new wallets get them and run. I just want to ask, who the hell would take the bait? This is the daily life of Web3—high valuation → liquidity desert → token dump, old tricks. Basically, it's a honey pot, waiting for retail investors to get caught. How are there still people willing to touch such projects? Specter is right, this is a prelude to the tragedy of 2026.

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