Elon Musk’s AI chatbot, Grok, has unintentionally become the center of a crypto controversy, promoting what could be a scam token.
The development comes amid rising concerns of fraudulent crypto, questioning the integrity of token launchpads such as Solana-based Pump.fun, among others.
Crypto Scam Alert: Did Grok AI Accidentally Pump a Token?
Grok, afterbeing prompted by a user’s leading question, initially suggested “GrokCoin” as the name of a meme coin. It then provided a wallet address for the said GrokCoin in response to a now deleted post. Grok also clarified that GROKCOIN is a meme coin on the Solana blockchain, inspired by xAI’s Grok AI.
“GROKCOIN, mentioned in the post, is a memecoin on the Solana blockchain, with the wallet address 3MadWqcN9cSrULn8ikDnan9mF3znoQmBPXtVy6BfSTDB. It’s inspired by xAI’s Grok AI, launched in November 2023, and trades with a current market cap of around $17 million, per CoinMarketCap, but its value is highly volatile.” Grok indicated.
Shortly after, the token’s market capitalization surged to $12 million, with an astonishing $51.9 million trading volume. At press time, the GrokCoin had a market cap of over $25 million. Meanwhile, data on GMGN shows the token’s value soared nearly 100,000%. This surge came as unsuspecting investors bought into what is likely an orchestrated scheme.
“Grok casually dropping a meme coin name, and the market instantly throws millions at it, peak crypto behavior. AI narratives + meme coins are a different kind of money printer no doubt about that,” one user quipped.
Despite this, skepticism remains high. It appears that an individual intentionally created the token before prompting Grok to mention the coin and wallet address publicly. This assumption comes as the question leading to Grok’s response was quickly deleted, suggesting a deliberate effort to manipulate the market.
It is also worth noting that the creator of GrokCoin has created over 470 coins, according to data from Soul Scanner
The incident highlights how scammers exploit AI tools to create and promote fraudulent tokens. It raises serious concerns about the growing trend of AI-driven crypto scams and market manipulation.
Following the latest development, similar Grok-themed tokens are flooding the Solana-based platform Pump.fun. This further adds to market manipulation concerns and potential investor losses.
Regulators are taking notice of these deceptive practices. A new bill proposed in New York aims to impose strict penalties on crypto scammers. As BeInCrypto reported, the bill defines civil fines of up to $5 million for fraudulent activities.
Such measures highlight the growing urgency to combat illicit schemes and protect investors from falling victim to AI-driven fraud.
Welcome to the US Crypto News Morning Briefing—your essential rundown of the most important developments in crypto for the day ahead.
Grab a coffee to view the market from the eyes of financial experts across TradFi and crypto. Given the more established financial channels, there is growing overlap, with Bitcoin (BTC) inadvertently benefiting from TradFi woes.
Crypto News of the Day: Max Keiser Says Bitcoin and Saylor Are the Future
Warren Buffett made the ultimate case for Bitcoin as the American investor considers stepping down as CEO of Berkshire Hathaway.
Pending board approval, Buffett could step aside at the end of the year, giving way for Greg Abel, vice chair of non-insurance operations, to become Berkshire’s new chief.
This revelation came at Berkshire Hathaway’s annual shareholder meeting on May 3, 2025, where Buffett also offered a stark warning about the long-term value of the US dollar.
He noted that every system eventually debases its currency. According to Warren Buffett, government decisions make paper money lose value over time.
“In the end, if you get people to control the currency, you can issue paper money, and you will,” Buffett told shareholders in Omaha.
Warren Buffett Slams US Fiscal Policy at Berkshire Hathaway Annual Shareholder Meeting
Without naming alternatives such as Bitcoin, the 93-year-old investor cautioned against holding assets denominated in a currency he said was systematically devalued by government policy.
“The natural course of government is to make the currency worth less over time… Some places devalue at breathtaking rates… it’s not evil, it’s just their job,” he added.
The investing icon said that if his late partner, Charlie Munger, had to choose a second area besides stocks, he would have gone into foreign exchange.
These remarks suggested an openness to non-traditional assets. Bitcoin advocate and broadcaster Max Keiser responded to the remarks in an interview with BeInCrypto.
Max Keiser interprets Buffett’s comments as a tacit validation of the thesis behind Bitcoin.
“Executive chairman and co-founder of MicroStrategy Michael Saylor is the Warren Buffett of the 21st century. He saw what Buffett described and built his strategy around it,” Keiser started.
“Warren Buffett built his empire on money printing. Most of his holdings over the years have been in banks, insurance companies, and financial services,” Keiser claimed.
In his view, Buffett benefited from having political leverage in Washington, particularly during the 2008 financial crisis. During this time, Keiser says, his [Buffett] investments in Wall Street institutions aligned with government-led rescue efforts.
Buffett’s Role During The 2008 Financial Crisis Is Well Documented
Michael Saylor, meanwhile, has taken a dramatically different approach. Under his leadership, MicroStrategy (now Strategy) began acquiring Bitcoin in 2020 as part of its corporate treasury strategy. The firm cited concerns about the long-term debasement of fiat currencies.
As of early 2025, the company holds more than 200,000 BTC, worth tens of billions of dollars at current market prices. A recent US Crypto News publication revealed one of Strategy’s latest Bitcoin purchases.
Buffett has long been critical of Bitcoin, famously calling it “rat poison squared” in 2018. However, some in the digital asset space have interpreted his recent comments about currency debasement as aligning with core arguments made by Bitcoin proponents.
Based on his remarks, the American investor and philanthropist is concerned about the US fiscal policy.
His comments allude that while he may not like Bitcoin, he clearly understands why it exists. Sentiment on X (Twitter) shows that community members took notice.
Responses suggest that if Warren Buffett understands money and its flaws manifested in fiat form, why does he not endorse Bitcoin as the solution?
“Warren Buffet talks about the virtues of Bitcoin without mentioning Bitcoin,” one user on X quipped.
Meanwhile, others hope Buffett’s prospective replacement as CEO will see the next Berkshire Hathaway chief to lead the company in a different direction, potentially adopting Bitcoin.
A spokesperson for Berkshire Hathaway did not immediately respond to a request for comment on Keiser’s remarks.
Elsewhere, and in line with Buffett’s statement about foreign exchange, QCP Capital analysts cite a remarkable 8% rally in the Taiwanese Dollar (TWD) on Monday.
They cite this as the TWD’s sharpest move in decades, alongside gains in other APAC currencies with strong current account surpluses. According to the analysts, speculation over a potential US-Taiwan trade deal drove this rally, as did insurer-hedging flows, pushing TWD’s 1Y NDF spread to its widest since 2008.
While Taiwan’s trade surplus supports the TWD, capital outflows have historically balanced it. This shift mirrors past foreign exchange dislocations like the 2023 JPY carry unwind.
For crypto, the move signals possible macro volatility ahead, with gold up 3% and BTC facing a binary path tied to global capital flows and trade diplomacy.
“In a market where correlations are fraying, FX may once again be the canary in the macro coalmine,” wrote QCP analysts.
Chart of the Day
US dollar index (DXY) performance year-to-date. Source: TradingView
The chart shows the US Dollar Index (DXY) trend from 2025, reflecting fluctuations in the value of the US dollar against a basket of major currencies. It indicates a downward movement from February to May, with a recent slight recovery.
Byte-Sized Alpha
Here’s a summary of more crypto news to follow today:
A new discussion draft introduces a framework to reduce market concentration and foster innovation. The bill clarifies jurisdiction between the SEC and CFTC, emphasizing decentralized systems and providing regulatory clarity for digital asset markets.
Traders and investors are gearing up for a big week, with many crypto events in the pipeline. Accordingly, heightened volatility is expected, but crypto airdrops provide a gateway worth considering.
Crypto airdrops offer investors a chance to join promising projects at their early stages with little to no initial investment. The following airdrop opportunities may be worth considering for the first week of May.
Miden
Boasting up to $25 million in funding, Miden presents the first crypto airdrop to consider this week. The project enjoys backing from notable investors such as Andreessen Horowitz (a16z), 1kx, Hack VC, and Symbolic Capital.
“Today, we announce our $25 million seed fundraise and spinout from Polygon,” Miden announced recently.
Miden is a ZK-rollup L2 blockchain built on Ethereum and spun from Polygon Labs. It enables private, scalable smart contracts. The project plans to airdrop 10% of its native tokens to Polygon (POL) stakers.
This initiative aims to reward Polygon’s ecosystem and incentivize participation in Miden’s zero-knowledge-powered network. By shifting execution to client devices, this enhances privacy and scalability.
“…Miden can support potentially infinite TPS by supporting client-side proving. It also supports opt-in privacy,” wrote Polygon executive Sandeep Nailwal.
The airdrop aligns with Miden’s integration into Polygon’s AggLayer, boosting cross-chain liquidity. Snapshots for eligibility began shortly after the announcement on April 29, with the mainnet launch scheduled for Q4 2025.
In the meantime, Miden is already planning a testnet, and airdrop farmers can perform the first activities to get a chance to become early users.
Camp Network
Another crypto airdrop to watch is on the Camp Network, which has raised up to $29 million. Investors such as Blockchain Capital, OKX Ventures, HTX Ventures, 1kx, and Maven 11 Capital, among others, back the project.
Camp Network is a Layer-1 blockchain focused on intellectual property (IP) management and AI agent integration. The project launched an incentivized testnet, allowing airdrop farmers to participate by completing simple social tasks to earn points.
“Freaky incentivized testnet update engage with our big steaming hot network of ecosystem partners to climb the leaderboard and win succulent rewards,” Camp Network shared.
Notably, if a token is launched, these points will be converted into project tokens in the future. The points, referred to as “Acorns,” require users to complete tasks like daily check-ins, social media engagement, and interacting with the ecosystem via the testnet faucet.
Mezo
Mezo is the third crypto airdrop to watch for the first week of May. It has raised up to $28.5 million. Backers include Pantera Capital, Multicoin Capital, Ledger, Mantle Network, GSR, Hack VC, and Bybit Exchange.
It is a Bitcoin Layer-2 network focused on enhancing Bitcoin’s utility through borrowing, spending, and earning without selling BTC. It launched a campaign on Galxe where airdrop farmers can complete quests to earn points.
“Complete quests and claim mats! We’ve joined forces with Galxe, so you can earn mats and more—alongside our partners ZeroLend, Velar, Blend, and Pamp Land,” Mezo Network announced.
After completing all the quests, participants can also grab the Galxe Questooor role, with most quests being free. However, for some, airdrop farmers will need to borrow MUSD.
Notably, after opening Galxe tasks on April 24, the Mezo airdrop will remain open until May 27, 2025. Meanwhile, users can also stake to earn points, a function that remains open without a specific deadline.
Crypto whales are accumulating NEET, PIN, and CHILLGUY ahead of the upcoming FOMC decision, signaling growing interest in select meme and DePIN tokens. NEET has surged over 41% in the past 24 hours, with whale holdings jumping 45% in just a week.
PIN is down nearly 13% this week, yet large wallets have increased their exposure by 18.5%, suggesting strategic buying during the dip. Meanwhile, CHILLGUY is up 38% in seven days, and despite recent price stability, whale holdings remain relevant, hinting at expectations of post-FOMC upside.
NotInEmploymentEducationTraining (NEET)
NEET has surged over 41% in the last 24 hours, standing out as one of the day’s most explosive meme coin moves. The token, which brands itself humorously as “the premier token for basement dwellers worldwide,” is based on the acronym “Not in Employment, Education, or Training.”
Originally launched on PumpFun and now trading on the Solana blockchain, NEET has quickly attracted attention with its mix of irony and momentum.
With over 6,300 holders and $5 million daily trading volume, the project is gaining real traction in the Solana meme coin space.
On-chain data reveals that crypto whales are also significantly accumulating NEET. In just the past seven days, the amount of NEET held by whales has jumped 45%, rising from 110 million to 153 million tokens.
PinLink (PIN)
PinLink is positioning itself as the first RWA-tokenized DePIN platform, aiming to offer crypto users fractionalized ownership of real-world physical infrastructure (DePIN assets).
Despite this promising concept, its native token, PIN, has dropped nearly 13% over the past seven days, reflecting broader market weakness or short-term selling pressure.
Interestingly, while the price corrects, crypto whales appear to be accumulating. Between May 5 and May 7, the amount of PIN held by large wallets increased from 242,717 to 287,635 tokens.
This 18.5% jump in crypto whales holdings during a downtrend could suggest strategic accumulation—often seen when larger players anticipate a rebound or view the current price as undervalued.
If this trend continues, it may support a future price recovery once broader sentiment stabilizes.
Just a chill guy (CHILLGUY)
CHILLGUY is up 38% over the past seven days, standing out as one of the stronger performers in the meme coin space this week.
Alongside its price surge, whale accumulation has intensified—on-chain data shows that holdings by large wallets grew 52% in the same period, rising from 56.2 million to 85.75 million tokens.
While price growth has stabilized in recent days, it’s notable that whales are not reducing their positions. This holding behavior implies that large holders may be anticipating further upside—possibly tied to macro events like the upcoming FOMC outcome.
If market sentiment shifts favorably and meme coins see renewed inflows, CHILLGUY could be among the beneficiaries, with whales already positioned to capitalize on any momentum shift.
