Plume, a real-word asset (RWA) project, is facing an unprecedented turn as holders start dumping coins following the death of one of the co-founders. Eugene Shen passed away earlier this week but the news has caused a split amongst community members. 

Amidst the ongoing accusations and concerns regarding the project, the PLUME token has taken a toll. The coin has dipped by over 7% on the day, indicating the weakening investor confidence as investors fear for the worst.  

Plume Announces the Death of Co-founder

Triggered by the announcement of the death of the Plume RWA project co-founder Eugene Shen, token holders are highly concerned about the authenticity of the project. This is majorly due to the lack of clarity on the official announcement issued by the project. Most community members feel that the announcement only announced the death of the co-founder with no clear cause or actual date of death. 

“It is with heavy hearts that we share the news of a tragic loss within our company. Earlier this week, we lost our co-founder and dear friend, Eugene. We’re in shock. Eugene was brilliant, deeply curious, and brought so much talent and heart to everything he did. Our thoughts are with his family and loved ones,” Plume posted on X. 

It is with heavy hearts that we share the news of a tragic loss within our company. Earlier this week, we lost our cofounder and dear friend, Eugene. We’re in shock. Eugene was brilliant, deeply curious, and brought so much talent and heart to everything he did. Our thoughts are…

— Plume – RWAfi Chain (@plumenetwork) May 29, 2025

While Plume has been on the radar of crypto enthusiasts since YZi Labs investment in the project in March 2025, the attention now seems to be fading away fueled by the unfortunate event. A notable number of investors have reacted negatively to the incident hence highlighting the reason behind PLUME’s recent dip. 

PLUME Token Dips Over 7% Over the Last 24 Hours

With the community now skeptical about the project, the token’s price is plunging. As per CoinMarketCap data, the token has dropped by 18% over the last week. On the day, the token has dipped by 7.54% and is currently trading at $0.1443. 

While the token was dipping before, the death of Eugene has worsened the situation. This clarifies the ongoing drop in the token’s price. In fact, one investor noted the ongoing dip is caused by the announcement and condemned the reaction by fellow Plume investors. 

“Now I understand, and I’m sorry for the loss. So basically people are dumping $PLUME because of Eugene’s death. You investors are a **** scumbag. Condolences to the team,” one investor noted. 

Community Members Defend the Plume RWA Project

Amidst the ongoing display of lack of public empathy amongst Plume investors, some investors are in tandem with the ongoing wave of blaming the project team. Instead, some investors have viciously defended the project. In particular, crypto investor Joep defended the project by reminding investors that the project is backed by a team of notable investors. 

“People forget that $PLUME is backed by big investors like Apollo & YZiLabs, besides all the massive partnerships. Call it a scam etc. but do you think massive parties like those invest and don’t do proper due diligence? Stupid *** and will remain sidelined for sure.” Joep wrote. 

The Plume token incident highlights that investors could be growing highly cautious around crypto projects. Perhaps, investors are getting tired of the rising number of pump-and-dump scams in the crypto sector. It also shows that investors are becoming very sensitive hence crypto projects should ensure clarity in any official communications.