CAT enters free fall after crypto sleuth alleges founders behind GCRClassic hack

• Crypto detective ZachXBT says team behind Solana-based CAT meme coin is connected to the GCRClassic X account hack.
• Hackers opened long positions on ORDI and ETHFI before posting about them from GCRClassic's account.
• CAT is down over 70% in the past 24 hours.

Solana-based “sol” (CAT) meme coin crashed heavily on Monday following a recent analysis by crypto detective ZachXBT connecting its team to the X account hack of crypto analyst GCRClassic.

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CAT's team accused of account hack

In an analysis on X on Monday, ZachXBT accused the CAT meme coin team of carrying out a sniping attack on their own project and using the proceeds to launch a pump-and-dump scheme via GCRClassic's account.

Sniping attack in this context refers to a fraudulent practice where insiders buy large holdings of a project before it’s available to the public only to dump the coin after it begins trading.

He started his analysis by citing a post from Lookonchain stating that an insider created new wallets to snipe 632 million CAT — 65% of its supply — using 1,370 SOL worth $230,000. The insider later dumped $5 million worth of CAT and transferred parts of the profits to crypto exchanges Kucoin and MEXC.

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After several strategies to hide their trail, the insiders transferred funds to decentralized perpetual exchange Hyperliquid and opened $2.3 million worth of ORDI long positions. Around the same time, compromised GCRClassic account released a post shilling for ORDI, causing the price to spike. The insiders quickly booked profits of $34,000 before GCRClassic made a post from another account confirming the original X account was hacked.

However, that didn't stop the hackers who made another post shilling ETHFI after opening long positions of $1 million worth of ETHFI on Hyperliquid.

"People let a scammer farm them for 7 figs just bc they purchased an expensive username and made mysterious posts," said ZachXBT.

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He also alleged that most meme coins are often manipulated as phishing scammers have increasingly switched to becoming meme coin scammers.

After the accusations, CAT suffered a sharp decline, crashing nearly 70% in the past 24 hours.

CAT's team hasn't responded to a request to comment on ZachXBT's accusations.