Crypto Investor Turns $86K Into $3.9M with 3,360% Return

This article is also available in Spanish.

In another remarkable tale from the crypto world, an investor has achieved an astonishing 3,360% return, turning an initial investment of $86,000 into roughly $3.9 million. This phenomenal profit stemmed from an investment in the memecoin Goatseus Maximus (GOAT).

According to a report by the on-chain analysis firm Lookonchain, the investor invested 603 SOL (valued at $86,000) to acquire 10.7 million GOAT tokens just six days prior. At its highest point, this investment soared to $3.75 million. Within the last eight hours, the investor sold 0.7 million GOAT tokens, converting them back into 1,453 SOL ($222,000), while holding onto 10 million GOAT tokens that are now worth around $2.74 million.

Furthermore, the trader invested $182,000 in 7.3 million BILLY tokens, which he sold after four months for $593,000, generating a 226% return. Consequently, this anonymous crypto investor realized an impressive $3.291 million profit from both trades.

Crypto’s Latest Memecoin Phenomenon

The memecoin GOAT has gained considerable traction within the crypto community. It was initially developed by an anonymous creator using Solana’s memecoin creation application, Pump Fun, and although it was not directly created by Andy Ayrey, the developer behind the AI bot Truth Terminal, the AI significantly contributed to its popularity.

Andy Ayrey, a digital innovator, designed Truth Terminal as an experiment in memetic engineering instead of crypto development. Trained on Meta’s Llama 3.1 model, Truth Terminal engaged in extensive discussions across platforms like X, Reddit, and 4chan, eventually focusing on the Goatsee meme—a well-known early internet shock image.

These discussions inadvertently inspired the creation of the GOAT memecoin, which hit the market on October 13 and quickly climbed to a market capitalization of $360 million within four days. As per the latest information, GOAT’s market cap has slightly decreased to just above $335 million, with the token trading at around $0.33.

Andy Ayrey has expressed surprise at GOAT’s unexpected success, noting, “This isn’t a crypto project; it’s a study in memetic contagion and the tail risks of unsupervised infinite idea generation in the age of LLMs.” He further explained, “The rise of this memecoin is validating a thesis I’m developing for an AI alignment and safety company, which is where my primary investment lies.”

Marc Andreessen, co-founder of Andreessen Horowitz, initially provided a $50,000 Bitcoin grant to Truth Terminal for independent AI research. With the surge of the GOAT token, Andreessen clarified his lack of involvement with the memecoin: “To be clear, I sent a personal $50K no-strings-attached unconditional research grant to Truth Terminal and its creator Andy Ayrey this summer […]. However, I have no connection to the GOAT memecoin, was not part of its creation, play no role in its development, have no financial stake in it, and do not own any of it.”

GOAT’s swift rise and subsequent stabilization underline the ongoing demand among crypto traders for high-risk, high-reward memecoins as opposed to underlying utility. Truth Terminal’s role in GOAT’s success illustrates the significant influence that AI-driven narratives can have on digital asset valuations.

At the time of this report, GOAT was trading at $0.3520.