PIZZA and HOTDOG — not SUSHI. Native tokens of SushiSwap meme clones crash to zero

Efforts to replicate the success of the non-custodial exchange SushiSwap by projects Pizzafinance.com and Hotdogswap ended in a classic Pump & Dump. In less than a day after listing on Uniswap their native tokens effectively lost all value.

Hotdog, like SushiSwap, is positioned as a fork of Uniswap and promises liquidity providers extremely high annual percentage yields (APY), as well as distribution of governance tokens.

Six hours after its launch on Uniswap, the price of HOTDOG rose to $6,234. In the following three hours it collapsed to one cent, with the drop from $4,000 taking about five minutes.

Hourly chart HOTDOG/USD on Uniswap.

In shorter form, the Pump & Dump scheme is implemented in PIZZA tokens. In the first hour of trading the coin price surged to $372, in the next — collapsed to $3.7. Subsequently the token fell to $0.25. The project also promises six-figure APY.

Hourly chart PIZZA/USD on Uniswap.

In both cases the drop from ATH amounted to 99.99%.

Another similar meme project, Kimchi Finance, repeated the HOTDOG and PIZZA dynamics with the difference that at the time of writing its token still has some value. On the fourth day after listing KIMCHI is valued at $1.41, which is seven times lower than the historical maximum reached on the first day of trading ($9.89).

Hourly chart KIMCHI/USD on Uniswap.

The creation of scam projects on Uniswap is facilitated by the loose practice of listing. In an attempt to solve the problem, the leading non-custodial exchange presented a new listing system.

“I swear the state of the market is worse than during Bitconnect,” crypto-analyst Edward Morra said.

Man, I swear this state of the market is worse than Bitconnect. These just happened today, dozens more examples out there over the last month pic.twitter.com/tG9Yl0RhZT

— Edward Morra (@edwardmorra_btc) September 2, 2020

The expert presented charts of the collapsed “gastronomic” tokens and noted that he counted more than a dozen similar examples in the past month.

The administrator of SushiSwap urged not to draw any parallels with his platform. “Chef Nomi” indicated that he plans to allocate funds in the tokens provided for him for two audits and grants.

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