Hawk Tuah Girl claims no tokens sold as memecoin launch sparks crypto community backlash
Hawk Tuah Girl claims no tokens sold as memecoin launch sparks crypto neighborhood backlash Hawk Tuah Girl claims no tokens sold as memecoin launch sparks crypto neighborhood backlash
Appropriate battles loom as users file HAWK token's dramatic tumble to regulatory our bodies.
Quilt paintings/illustration via CryptoSlate. Image involves blended protest which can perhaps well consist of AI-generated protest.
Haliey Welch, a viral web personality most regularly known because the Hawk Tuah Girl, finds herself embroiled in controversy following the launch of her memecoin HAWK on the Solana blockchain.
The token’s snappy upward thrust and drop hang drawn tantalizing criticism from the crypto neighborhood, with accusations of unethical practices that can perhaps well entice regulatory attraction.
HAWK memecoin
On Dec. 4, the memecoin debuted on the Solana blockchain to unprecedented acclaim and, in a topic of minutes, surged to a $500 million market cap, handiest to nosedive to as low as $60 million rapidly after.
This volatile performance left many traders fuming as hypothesis grew that the token might well well were designed for a pump-and-dump schemeâa tactic whereby malicious developers make the most of artificially inflated costs before leaving at the support of the venture.
Blockchain analysis from Bubblemaps confirmed additional concerning important functions about HAWK’s launch. In line with the company, almost 96% of the token’s offer used to be reportedly controlled by insider wallets. Such concentrated holdings are in overall associated with market manipulation, additional fueling skepticism in regards to the token’s legitimacy.
In an X Areas hosted by the venture’s team, on-chain investigator Coffeezilla slammed Welch and her team for insider shopping and selling. He said:
“You guys generated over a million dollars in costs, whereas your followers obtained rug pulled. There were snipers, however there used to be also insider shopping and selling straight linked to your creator accounts.”
The HAWK reveal of affairs used to be paying homage to earlier critical person token launches on Solana that failed. Earlier this year, a pair of artists and influencers issued tokens in the midst of a posthaste trend, however many of those sources misplaced nearly all their fee inside hours and days.
Critics argue that the HAWK token has adopted a an analogous trajectory, highlighting the dangers of investing in unproven critical person-endorsed tokens.
Appropriate fallout
The token’s give design has prompted outrage all the design in which via social media, with some users reporting the incident to regulatory authorities.
In the intervening time, diverse traders claim to hang filed complaints with the US Securities and Switch Commission (SEC), whereas law corporations offer valid toughen to those who incurred losses. One company, Burwick Legislation, publicly encouraged affected events to approach ahead and explore their alternate choices for recourse.
Alongside with to the uproar, crypto neighborhood participants created a satirical token called “Straight Tuah Jail,” insinuating that Welch need to nonetheless face accountability for the token’s failure. These traits counsel capability valid challenges for Welch and her team rapidly.
Welch’s response
In her defense, Welch denied any wrongdoing in a Dec. 5 post on X (previously Twitter), declaring that her team had no longer sold tokens and that no influential figures had obtained free allocations.
Welch explained that they launched HAWK the exhaust of Meteora, a decentralized liquidity protocol, to discourage snipers. She wrote:
“Team hasnât sold one token and no longer 1 KOL used to be given 1 free token We tried to end snipers as handiest shall we via excessive feeâs in the starting up up of launch.”
Over Here, a platform collaborating with Welch on the launch, echoed her statements. They clarified that the tokenomics were designed with transparency and that Welch’s team sold no tokens.
They also eminent that her team’s 10% token allocation is locked for one year and field to a three-year vesting agenda.
Despite these assurances, the controversy raises questions in regards to the dangers associated with critical person-endorsed crypto projects.
Oluwapelumi Adejumo
Oluwapelumi values Bitcoin's capability. He imparts insights on a fluctuate of subject matters love DeFi, hacks, mining and culture, underlining transformative energy.
Most modern Solana Experiences
Featured Narrative
Promote Here
Listed here
Solana is a excessive-performance blockchain platform that utilizes a obvious consensus algorithm called “Proof of Historic previous” to construct like a flash transaction speeds and low costs.
Source credit : cryptoslate.com
