Meteora co-founder Ben Chow resigns amid LIBRA memecoin scandal

Ben Chow, co-founder of Solana-based decentralized exchange Meteora, has stepped down following allegations that he privately received or managed LIBRA tokens.

Chow’s resignation was announced on X by Meow, pseudonymous co-founder of both Meteora and Jupiter. Meow stressed their dedication to openness and reassured the community that neither project was involved in insider trading or financial misconduct. 

A respectable legal firm, Fenwick & West, has been hired by the companies to carry out an independent investigation into the claims. Meow stated that the results of the investigation will be made public. 

Meteora, which has operated independently from Jupiter for over a year, had been led by Chow without significant involvement from meow. While Meow expressed confidence in Chow’s character, he cited a lack of judgment in recent months regarding Meteora’s core operations as a reason for the resignation. 

The controversial LIBRA memecoin, to which Chow was linked, gained rapid attention after Argentine President Javier Milei’s public mention of the token. The value of LIBRA surged to over $4 before plummeting to less than 50 cents. Rumors of market manipulation were sparked by reports that insiders cashed out over $100 million while buyers incurred large losses.

Milei’s involvement with the token has ignited political tensions in Argentina, with opposition leaders calling for his resignation. The nation’s Anti-Corruption Office is now reviewing the case, and Federal Judge María Servini is overseeing a legal probe into the matter.

The LIBRA incident has sent shockwaves through the crypto space, highlighting the risks involved in memecoin trading. On February 17, Binance co-founder Chang Peng Zhao offered to donate 150 Binance Coin (BNB) as part of an effort to compensate victims of the scam.