PNUT Memecoin Drops 10% Following Peanut’s Owner Legal Warning To Binance

by

As a researcher who has been following the intriguing world of crypto and memecoins closely for years now, I must say that this latest development involving Peanut the Squirrel is quite a twist. The tragic story of Peanut and Fred, the rescued animals who became viral sensations before their untimely demise, has left an indelible mark on many hearts.

Binance, the well-known cryptocurrency exchange, received a cease-and-desist notice from Mark Longo, owner of the viral internet character Peanut the Squirrel, due to claims of copyright violation. This action led to a nearly 10% drop in value for PNUT, a memecoin inspired by the squirrel.

Internet Squirrel Becomes Memecoin Sensation

Last Sunday, Mark Longo, who’s famously known as “Peanuts Dad” due to his ownership of Peanut the Squirrel, disclosed that his legal representatives have taken the step to file a lawsuit against Binance, the well-known crypto exchange. In a post on social media platform X, Longo alleged that Binance had been utilizing his intellectual property unlawfully.

As a crypto investor, I found myself unexpectedly in the spotlight when my rescued squirrel, Peanut, gained internet fame following the viral success of my online videos. This digital popularity translated into over half a million followers on Instagram. However, my world was turned upside down when both Peanut and another rescued animal, Fred the raccoon, were taken from my home during a raid.

The animals were put down to check for rabies since there are no pre-death testing methods for animals approved by the Centers for Disease Control and Prevention. After hearing about this, people strongly opposed Peanut’s death, and many politicians spoke out against the authorities’ actions.

Additionally, it triggered a surge of meme-inspired tokens similar to Peanut, leading to the birth of the Solana-based memecoin, PNUT. In the midst of debate, the token garnered significant attention and popularity, reaching a market cap of $120 million within just a week.

On November 11, Binance revealed the addition of the memecoin to their platform, initiating trading immediately. Following this announcement, PNUT’s price experienced a significant surge, eventually ranking among the top 10 most valuable memecoins based on market capitalization.

As an analyst, I’ve been tracking the remarkable growth of this token. In less than a month, it surpassed the $1 billion milestone and peaked at a market capitalization of approximately $2.27 billion. However, it subsequently retraced. Over the past month, the token has maintained its value above the $1 billion mark, with its price fluctuating between roughly $1.80 and $1.00.

Crypto Exchanges Hit With Cease And Desist Letter

Based on a letter penned by an animal rights advocate, Binance is accused of violating Mr. Longo’s intellectual property rights. His legal team asserts that Binance’s use of a copyrighted image featuring Peanut the Squirrel in a cowboy hat and the identical trademark “PEANUT THE SQUIRREL and PNUT” for their memecoin, infringes upon several of Mr. Longo’s copyrights and trademarks.

The letter required Binance to reply by December 31st, 2024, confirming they had received the correspondence and stopped any illegal activities. Notably, Longo disclosed in his post that this was just one of several stop-and-desist notices to follow.

Following the announcement, PNUT experienced a decline of approximately 10.2%, dropping from $1.17 to $1.05 in just 24 hours. This drop brought the token close to its lowest prices seen in over a month, causing concern among investors about the memecoin’s recent performance.

In my role as a researcher, I find it significant to point out that Longo has voiced his dissatisfaction towards the PNUT memecoin in the past, arguing that the crypto community has exploited the memory of his deceased pet for profit. In response, this animal rights advocate introduced a new memecoin named Justice for Pnut and Fred (JUSTICE), which unfortunately stirred up controversy regarding insider trading accusations.

Longo endorsed another meme-based currency, Justice for Peanut (JFP), in his cautionary post as well. Following its publication, JFP experienced a substantial surge of 159%. However, it later erased all those recent gains. As I write this, the current trading price of PNUT is $1.10, representing a 5.1% decline within the daily timeframe.

Read More

2024-12-17 10:16