Trader Turns $68K Into $9.4M on Hacked Memecoin ‘4’

According to blockchain analytics firm Lookonchain, an unidentified crypto trader executed one of the most remarkable trades of the year by purchasing 63.07 million units of a Binance Smart Chain token called ‘4’ on October 1 for 68 BNB, equivalent to $68,700. Within just two days, the value of this investment multiplied by over 135 times, leaving the trader with an unrealized gain of roughly $9.3 million and a total portfolio value approaching $9.4 million.

This staggering return exemplifies the extreme volatility and profit potential inherent in memecoin speculation. Unlike conventional cryptocurrencies that may offer technological innovation or utility, memecoins like ‘4’ typically lack underlying fundamentals and trade almost entirely on social sentiment and community momentum. The rapid price appreciation demonstrates how these assets can generate exponential gains, though their inherent volatility makes them exceptionally risky investments.

The ‘4’ memecoin emerged from unusual circumstances involving a security breach on October 1. Attackers hijacked the official BNB Chain X account and used it to distribute phishing links. BNB Chain later reported that ten malicious links were shared during the breach, resulting in approximately $8,000 in total losses across networks, with one user suffering a loss of up to $6,500.

Yu Xiang, founder of blockchain security firm Slowmist, connected the attack to Inferno Drainer, describing it as “another phishing operation related to the notorious Inferno Drainer phishing group.” Inferno Drainer is known for offering “drainer-as-a-service” kits that enable scammers to create fake websites and accounts designed to siphon funds in exchange for a share of the stolen assets. During the exploit, the attackers launched the ‘4’ memecoin, selling their initial holdings for around $4,000 before manipulating the market to push up prices and staging another exit for $22,000 before abandoning the project.

What typically marks the end for such projects became the beginning of an unexpected revival for the ‘4’ token. Instead of collapsing after the attackers abandoned it, crypto traders consolidated liquidity, effectively taking the project out of the attackers’ hands and transforming it into a community-led asset. This unexpected shift in ownership and purpose fueled a dramatic price surge that caught the attention of market participants.

Market tracker Dexscreener shows that ‘4’ gained nearly 200% in the 24 hours following the community takeover, trading at $0.1775 with a market capitalization exceeding $150 million at the time of reporting. The transformation from a phishing-related token to a community-driven project demonstrates how crypto communities can sometimes rescue and repurpose assets that begin with malicious intent, though such scenarios remain exceptional rather than typical outcomes.

This incident underscores the unique dynamics of memecoin markets, where value creation often stems from community engagement and social momentum rather than technological innovation or fundamental utility. The case of ‘4’ shows how tokens with questionable origins can be rehabilitated through community effort, though such transformations carry significant risks and represent outliers in the broader crypto landscape.

The extraordinary profit generated by the anonymous trader highlights the extreme risk-reward profile of memecoin investments. While the potential for massive returns exists, these assets remain highly speculative and vulnerable to rapid price swings. The story of ‘4’ serves as both a cautionary tale about security vulnerabilities in the crypto space and an illustration of how community sentiment can drive unprecedented market movements in decentralized finance.