After the launch of the new public chain Arc mainnet, the project team held a live stream this morning. Screenshots shared by the community during the stream showed several core members being identified by netizens, while the video background of the live stream was described as haphazard and lacking formality.

During and after the live stream, multiple MEME tokens and related platform tokens experienced large-scale sell-offs, with some tokens dropping between 40% and 75% within 12 hours. The significant drop and the number of tokens affected made this live stream a direct trigger for the sell-off.

In community discussions, a considerable portion attributed this decline to a stereotype-based "pattern recognition" of the team's background—forming a negative expectation based on past experiences of similar teams running away, leading to rapid sell-offs to avoid risk.

Additionally, another frequently mentioned exacerbating factor was that on the launch day, several co-founders simultaneously promoted their different MEME tokens, creating a de facto competitive relationship among these tokens, further dispersing market confidence and reinforcing the negative perception of a lack of unified strategy within the project.

It is noteworthy that highly similar mocking expressions appeared in both Chinese and English communities, reflecting that this attribution logic is not limited to a single language community but is a consensus narrative formed across language communities. There were also significant voices criticizing this attribution method as biased, arguing that project performance and hard indicators like code and capital flow should be the basis for judgment, rather than pre-judging based on team members' nationality or appearance.

From a market mechanism perspective, the core driver of this sell-off was narrative panic rather than fundamental deterioration: the selling pressure mainly came from early participants and short-term speculative funds, who rushed to exit during a lack of formal information clarification; the current liquidity level in the ARC ecosystem is generally low, meaning that even limited sell orders can cause severe price fluctuations, which is a key structural reason for the drop reaching 40%-75% in a short time, further amplifying the downward risk faced by early speculative funds.

Source: Public Information