Solana Meme Coin Fartcoin Falls After AI Bot Creator Sells Huge Stash

The recently popular meme coin Fartcoin is down 17% in the past 24 hours amid news that Andy Ayrey, creator of the popular AI bot Truth Terminal that inspired the token helped facilitate the sale of a majority of its Fartcoin (FARTCOIN) holdings in an over-the-counter transaction.

Truth Terminal initially received 20 million Fartcoin tokens to the original Solana wallet on October 18, 2024 data from Solscana Solana block explorer, essentially an app that allows users to view transactions on the blockchain.

“When Truth Terminal suddenly and unexpectedly went viral in October thanks to its incessant goat posts, the wallet became a kind of Schelling point for meme coins,” Ayrey said. “People kept sending tokens – for reasons that largely escape me to this day.”

On January 21, Truth Terminal’s wallet transferred a total of 15 million Fartcoin tokens to two separate wallets as part of the over-the-counter trade, worth more than $22 million at current prices.

Each receiving wallet then transferred the Fartcoin to a different Solana address. At least one of the wallets still retains its full share of Fartcoin tokens, but the other 5.5 million tokens transferred to an account tagged by Solscan as market maker Wintermute.

Details of the trade were announced Early Tuesday morning by Ayrey, who indicated that he had been approached by an anonymous third party and only agreed to close the deal on the condition that the party would “responsibly” hold the tokens without “dumping them on the card.”

Some of the money obtained from the deal was then used to purchase Goatse Maximus (GOAT), another meme coin inspired and endorsed from Truth Terminal related to a popular internet meme. GOAT is up 8% to $0.30 over the past 24 hours, but remains more than 75% lower than its all-time high of $1.30.

Due to the extreme legal complexities and tax implications of an AI bot owning millions in assets, Ayrey said it’s unlikely there will be much more action from Truth Terminal’s assets anytime soon.

“Until we have more legal certainty (March at the earliest), adjustments to the positions will be few and far between,” said its creator.

For now though it still holds over $7.5 million worth of Fartcoin and $500,000 worth of Goatse Maximus tokens respectively.

According to data from CoinGecko, Fartcoin hit an all-time high of $2.48 on January 19. Since then, it has recovered almost 36% at its current price of $1.59.

Edited by Andrew Hayward