Musk Suspends Meme Coin-Linked Account, Prompting 30% Price Plunge

Elon Musk, CEO of SpaceX and Tesla, has suspended an account linked to the popular Bob Token (BOB) meme coin, leading to a 30% plunge in its value.

BOB is an ERC-20 meme coin that powers a Twitter reply bot named Bob. The bot is designed to explain tweets in simple terms and is activated when tagged in the comment section of any tweet at @explainthisbob. Due to its witty replies, Bob has gained some traction among Twitter users, leading to the increased popularity of the BOB token among crypto enthusiasts. 

However, like most meme coins, BOB lacks a robust use case or inherent value proposition, attracting scam accusations. 

Musk, known for his active and often controversial presence on Twitter, had previously engaged with the account, @ExplainThisBob, which has been accused of promoting scam cryptocurrencies.

Brett Meiselas, a critic of Musk, pointed out that the far-right activist had boosted the account only a day prior to its suspension. “Elon repeatedly engages with and boosts this annoying bot crypto account @ExplainThisBob — including just yesterday,” Meiselas tweeted. “Then, he suddenly suspends it, causing the value of the scam meme coin to plummet. Feels sus, no?”

Prior to the suspension, Musk questioned the legitimacy of the account in a tweet, stating, “This sure looks like a scam crypto account. If so, it will be suspended.” The suspension came shortly after the tweet. 

Despite this, many in the crypto community are defending the meme coin and its associated account. Advocates have taken to Twitter with the hashtag “FREEBOB” to voice their opposition to Musk’s characterization of the account as a scam.

This is not the first time Musk’s tweets have had a noticeable impact on cryptocurrency prices, sparking ongoing debates about the power of social media and its role in financial markets.