Lost $979K, walked away $762K richer
On Papertrade’s first day, one address racked up $10.1 billion in trading volume, lost $979K on paper, and got 252 million PAPER in return. Then they stopped, staked it all, and collected $1.73 million in USDC rewards—for a net profit of $762K. The losses were just the price of admission; the rewards pool was where the real money came from.
This trade exposes just how thin the market’s liquidity is: market-making depth can’t support $10.1 billion in fake volume, and the USDC in the rewards pool is being propped up entirely by subsidies. The token price can only hold if later buyers step in. With 252 million tokens locked in the staking contract, once the rewards season ends and the unlock window opens, the selling pressure will be very real. In the short term, staking lockups could be used to pump the price and create the illusion of scarcity. After the spike, prices could fall, with market makers likely distributing their holdings gradually during that window.
Would you dare to place a bid and catch the supply on a pullback in a wash-trading market like this? PAPER holders, what’s your cost basis?
$PAPER $ETH $SOL
On Papertrade’s first day, one address racked up $10.1 billion in trading volume, lost $979K on paper, and got 252 million PAPER in return. Then they stopped, staked it all, and collected $1.73 million in USDC rewards—for a net profit of $762K. The losses were just the price of admission; the rewards pool was where the real money came from.
This trade exposes just how thin the market’s liquidity is: market-making depth can’t support $10.1 billion in fake volume, and the USDC in the rewards pool is being propped up entirely by subsidies. The token price can only hold if later buyers step in. With 252 million tokens locked in the staking contract, once the rewards season ends and the unlock window opens, the selling pressure will be very real. In the short term, staking lockups could be used to pump the price and create the illusion of scarcity. After the spike, prices could fall, with market makers likely distributing their holdings gradually during that window.
Would you dare to place a bid and catch the supply on a pullback in a wash-trading market like this? PAPER holders, what’s your cost basis?
$PAPER $ETH $SOL