.COCKFIGHTS, a tokenized billion-dollar cockfighting event, is making a splash on the crypto market. The newly-launched token has garnered a 20,000% increase in the last 24 hours. COCKFIGHTS has hit a record high of 0.2051 USD within a very short period.
However, despite its sail to the top, crypto experts are concerned about the event, questioning the project’s fundamental foundation.
Many have labeled COCKFIGHTS as a potential honeypot scam. The native token, $COCKS, is currently trading at 0.6810 USD, and its trading chart shows only a short trading channel, evidence that several wash trades have occurred on the newly-launched token.
While it hit a record high on the closing hours of July 21, it is currently having difficulties maintaining the velocity. This data shows that investors are taking profit and dumping the token.
According to the COCKFIGHTS feature on DEXTools, the project is a means of tokenizing the billion-dollar cockfighting events that occur yearly in Thailand. The anonymous development team behind the token says it has taken up the challenge to live stream cockfights to allow enthusiasts to bet on them and get live updates via Telegram.
On the DEXTools platform, the community score of COCKFIGHTS shows a 100% rating, polled from only 24 votes. The project token has a transfer pausable functionality, meaning that project developers can easily edit transfer functions from their end and make it difficult for token holders to control their asset inflows and outflows.
There are also issues with the token holders as only three wallet addresses currently hold the largest COCKS tokens. This means that most trades are executed from the three wallets, giving off the impression of wash trading. The impractical metrics have led crypto experts to label it a honeypot scam that seeks to draw investors in with sweet deals and then dump the token once the price hits the intended target.
Crypto experts recommend investors skip out on this project as they could potentially lose their funds to this project.