Arkham’s new KOL Label tracks crypto influencers’ wallets

Arkham Intelligence has launched a new tool to track the wallets of major crypto influencers. This tool, called the Key Opinion Leader (KOL) Label, focuses on influencers with over 100,000 followers on X (formerly Twitter).

It aims to show whether these influencers genuinely support the projects they promote or if they are just involved in paid promotions. This comes at a time when meme coins are becoming popular, even though they often lack real utility and stability.

The new tracking feature has sparked debates among crypto investors. Supporters believe it will bring more transparency, helping people tell apart real investment advice from potential scams. Critics worry that the tool might be misleading since many influencers use multiple wallets to hide their actions.

Reports indicate that about 75% of tokens promoted by influencers fail, losing significant value within months. Research shows that influencers with larger followings often promote the least successful tokens. This raises ethical concerns about the responsibility of these high-profile figures, as many receive large payments for promotions while secretly selling their holdings.

Investigations have revealed some influencers involved in price manipulation schemes, further damaging market trust. With Arkham’s tool, investors can check if influencers hold the tokens they promote. If an influencer sells off a token quickly after promoting it, it could indicate dishonesty.

Crypto leaders like Tron founder Justin Sun stress the need for thorough research instead of just following influencers. Experts recommend looking at real social engagement, understanding project fundamentals, and reviewing a token’s structure before investing.

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