Solana Meme Coin Rug Pull: CatFi Creators Charged, 6,000% Unrug
South Korean prosecutors charged five people over an alleged Solana meme coin rug pull tied to CatFi, a token launched on Pump.fun in February 2025. The case is described as the first prosecution under South Korea’s Virtual Asset User Protection Act for a DeFi-related scheme.
Prosecutors allege the creators used coordinated social media promotion and then conducted mass selling, causing about 900 million won (around $600,000) in losses for 256 investors. Two promoters were arrested, while three others were charged but not arrested.
After the arrests were publicised, traders tried to “unrug” CatFi. The token, which had gone inactive, spiked nearly 6,000% in under a day to about $167,000 market cap from roughly $2,350. Reporting also said there were no buys since August 2025 before the surge.
Despite the bounce, CatFi remains down about 96% from its February 2025 all-time high, reinforcing a high-risk Solana meme coin cycle. For traders, this Solana meme coin rug pull headline may fuel short-term speculation, but it does not clearly restore long-term damage or liquidity confidence.
Neutral
Neutral for the token itself. The headline legal action (a Solana meme coin rug pull prosecution) can drive short-term volatility and momentum-chasing, as seen with CatFi’s sharp “unrug” spike after arrests were announced. However, both articles stress that CatFi is still far below its all-time high (about -96%) and that the broader pattern resembles a typical high-risk Solana meme coin cycle. That suggests the long-term price impact is unlikely to be structurally positive; liquidity and confidence may remain damaged. Traders may see brief squeezes or pump dynamics, but sustained recovery is not clearly supported by fundamentals or trading activity.