Some tokens that share the same name as Musk’s chatbot Grok surged by more than 30,000% in price, although their legitimacy is unclear.
New shady tokens emerge on the decentralized finance (defi) market as American billionaire Elon Musk unveiled his new artificial intelligence chatbot dubbed Grok.
According to data from DEXTools, around 394 tokens mention GROK in their name to lure inattentive investors.
Some of the tokens demonstrate an extremely high level of daily volumes, registering millions of dollars worth of crypto.
A token called GrokDogeX is showing a ridiculous 31,000% surge in price over the past 24 hours, even though the token itself was launched on Nov. 5, 2023.
Many, if not all, self-developed eponymous tokens that flood the defi market eventually turn out to be scams. They quickly collapse in price, leaving investors with worthless coins.
As per DEXTools, most Grok-aimed tokens appeared on the market shortly after Elon Musk launched his new chatbot to rival ChatGPT and others. It is yet to be seen if deployment contracts of these tokens have hidden features that would cost investors millions of dollars.
It is worth noting that before the launch, Musk took to X to emphasize that “none of my companies will ever create a crypto token.” However, as crypto.news earlier noted, the statement has not entirely ruled out Musk’s interest in cryptocurrencies.
Known for his admiration of Dogecoin (DOGE), a cryptocurrency that started as an Internet meme, Musk has a history of stirring the crypto pot. For example, in 2021, he was reported to have collaborated with DOGE developers for an eco-friendly alternative to Bitcoin (BTC).