Categories: Gadgets360

Musk-Inspired Memecoin ‘Grok’ Sees Quick Rise and Fall Amid Scam Suspicions: Details

Elon Musk’s new project called ‘Grok’, that is essentially an AI chatbot service with a more humorous and uncensored approach as compared to other chatbots, has begun rolling out. As excitement about Grok bubbled up on social media, a memecoin project of the same name made a splash into the digital assets market. With a Musk-inspired branding and arriving at a time when the crypto market is at its highest valuation this year, the memecoin was quick to garner acceptance from the crypto community only for its fame to fizzle almost as soon as it formed.

At the time of writing, Grok was trading at $0.011880 (roughly Rs. 0.99) as per CoinMarketCap.

In the last few hours, the value of Grok tokens clocked a sharp decline of 70 percent. It happened after blockchain analyst who goes by the username of @zachxbt on X claimed that the social media accounts and websites related to Grok were repurposed from old crypto projects.

https://twitter.com/zachxbt/status/1724094712309489810?ref_src=twsrc%5Etfw

Later, @zachxbt also pointed out that the developer team behind Grok transferred roughly $1.7 million (roughly Rs. 14 crore) worth tokens to a burn address that would increase the token’s rarity quotient and make it more enticing to investors.

As soon as this news began spreading, floodgates of rumours and suspicions about Grok being a scam coin opened on social media. The altcoin’s valuation that had reportedly touched the mark of $160 million (roughly Rs. 1,331 crore) earlier this week, is currently valued at merely over $92 million (roughly Rs. 772 crore).

https://twitter.com/JakeGagain/status/1724139423523312084?ref_src=twsrc%5Etfw
https://twitter.com/ImZiaulHaque/status/1724308690168418374?ref_src=twsrc%5Etfw
https://twitter.com/treso888/status/1724144501319475541?ref_src=twsrc%5Etfw

Members of the crypto community are warning each other about making careful investment decisions around newly emerging and hyped cryptocurrencies like Grok.

Musk started rolling out GrokAI on November 5 and on the same day, this crypto project made its debut on social media. Memecoin traders were quick to hop onboard the hyped altcoin and within one week, the value of Grok recorded continuous spike. Its all-time high was recorded at $0.027 (roughly Rs. 2.25) on November 13.

Musk, as of now, has not addressed anything related to the Grok cryptocurrency.


Is the Samsung Galaxy Z Flip 5 the best foldable phone you can buy in India right now? We discuss the company’s new clamshell-style foldable handset on the latest episode of Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

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