Why did $ZKJ and $KOGE drop together?
The reason is actually quite simple: Pool binding, fate tied together.
16 days ago, the two project teams created a ZKJ/KOGE trading pair + liquidity pool on Pancake, with a total pool value of up to 30 million U, attracting many people to enter and arbitrage.
But then the problem arose:
Both are Alpha altcoins, with high price volatility. When one side plummets, the other can easily be affected due to 'joint liability.' Once the pool structure collapses, both sides suffer.
So why create such a pool?
Because it's cheap.
For the project teams, ZKJ and KOGE are coins they have issued themselves, so they don’t need to use real money like USDT or BNB to create the pool; they can directly 'swap air for air' to create TVL and trading volume.
This trick isn't new; it was used excessively in the last DeFi bubble:
Air coins mutually bind to create pools
Wash trading to generate hype
Finally, real money comes in to take over
To sum it up:
The pool structure looks dangerous at first glance; the deeper the binding, the harder the drop.
$ZJK $KOGE
