Some customers who ordered the Solana Saga phone experienced cancellations due to a stock issue. The demand for the device surged following a 135% increase in the price of Solana’s meme token BONK, which offered investors an arbitrage opportunity.
The Saga phone, which comes with 30 million BONK tokens, became more valuable than the device itself due to the token’s price surge. Solana Mobile’s limited stock of 20,000 phones sold out instantly in the US and the EU.
Solana Mobile disclosed an inventory management issue with their third-party distributor, which led to the misrepresentation of their stock levels. They apologized for the inconvenience and informed affected customers that refunds would be processed in the coming days.
Customers who did not receive a cancellation notice are expected to get a shipping notification by the end of the year. Additionally, Solana Mobile mentioned that some orders were canceled due to suspicious activities such as excessive device orders or payment risks.
The meme token BONK saw a parabolic increase this month, with an over 800% rise on December 15th, but has since sharply declined by 46%. The value of the 30 million BONK tokens that came with the Saga phone was significantly higher than the cost of the device at its peak but has now dropped below the phone’s price.
At its peak, the value of the BONK tokens was $1,140, which was 90% more than the $599 cost of the Saga phone. However, the subsequent drop in the token’s price has decreased its value to $570, below the price of the phone.