Fake Manchester United token soars 3,000% after Elon Musk jokes about buying team

Manchester United Fan Token (MUFC) is a useless coin and never associated to the sports activities franchise, however one Elon Musk tweet was sufficient to revive it on Aug. 17.

Pretend Man U token pumps after Elon Musk’s tweet

To make clear, MUFC isn’t an official Manchester United crypto token. It got here to life in August 2021 after a group of programmers, who’re stated to be hardcore Manchester United followers, falsely claimed that holding MUFC would give buye affect on the soccer membership’s selections.

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The group later carried out an “airdrop” spherical of 10,000,000,000 MUFC in November 2021, promising to supply 10,000 MUFC to customers who adopted its official social media handles. The prospects of getting free MUFC tokens helped its worth rally to as excessive as $1.

However the mission turned out to be vaporware, finally main MUFC down by 100% after November. It was deemed extinct till a tweet from billionaire entrepreneur Elon Musk on Aug. 17 revived it from oblivion.

The Tesla CEO tweeted that he would purchase the Manchester United soccer membership, which he later admitted was a “long-running joke.”

Nonetheless, the message despatched the monetary belongings associated to Manchester United hovering, together with its inventory MANU, which rose 1.97% in pre-market buying and selling, and Tezos (XTZ), the club’s official blockchain and training partner, whose market valuation surged by $138.85 million.

Even Manchester Metropolis’s official crypto token, CITY, popped greater by almost 14% to achieve $7 per piece after Musk’s tweet, regardless of Manchester Metropolis being a unique soccer membership.

CITY/USD day by day worth chart. Supply: TradingView

However, MUFC surged by over 3,000% hours after Musk’s tweet about shopping for Manchester United, according to information fetched by CoinPaprika.com.

MUFC worth and quantity efficiency (final seven days). Supply: CoinPaprika.com

“Manchester United fan token” has zero liquidity

Nevertheless, the MUFC rally seems to be worth manipulation attributable to extraordinarily poor liquidity and quantity. 

Notably, within the final 24 hours, MUFC had been buying and selling solely in opposition to two crypto belongings: WBNB and USDT. Whereas the liquidity for the WBNB/MUFC pair was mere $106.84, it was even decrease for the USDT/MUFC pair at round $10, according to information from PancakeSwap, a decentralized change.

MUFC swimming pools statistics as of Aug. 17. Supply: PancakeSwap

In the meantime, the online quantity that backed MUFC’s 3,000% rally was roughly $39,000 within the final 24 hours, suggesting fewer merchants behind the foremost upside transfer.

MUFC quantity file. Supply: PancakeSwap

Thus, a small variety of speculators possible used MUFC’s poor liquidity to artificially pump the token. The variety of merchants who purchased the false upside narrative stays unclear, however given thatMUFC has already dropped by 50% from its native prime, the prospect that its price would return to zero is excessive.

Associated: Crypto scams fall 65% after gullible noobs exit the market: Chainalysis

In the meantime, the incident reasserts Musk’s strong influence on the crypto market, particularly on memecoins like Dogecoin.

The views and opinions expressed listed here are solely these of the creator and don’t essentially replicate the views of Cointelegraph.com. Each funding and buying and selling transfer includes danger, you must conduct your personal analysis when making a call.