Crypto-celebrities: Brilliant launches, dizzying falls

In recent days, a new trend has emerged among celebrities: launching their own crypto tokens. Caitlyn Jenner, Rich The Kid, Iggy Azalea, Davido and Trippie Redd have all embarked on this adventure. However, these tokens quickly saw their prices collapse, causing significant losses for many traders. A series of resounding failures that speak volumes about the dangers of impulsive investments in the volatile world of cryptocurrencies.

Crypto, dizzying rises and falls

Last Sunday, Caitlyn Jenner launched her crypto on the Solana blockchain. The next day, rapper Rich The Kid deployed his own token, RICH, underlines Unchained Crypto. On Tuesday, it was the turn of Australian rapper Iggy Azalea with her MOTHER token. On Wednesday, Nigerian singer Davido introduced DAVIDO via Pump.Fun, followed by rockstar Trippie Redd who posted the contract address of his BANDO token on Solana. Caitlyn, never short of surprises, also launched a second Jenner crypto on Ethereum.

These tokens followed a similar pattern: a rapid increase in value followed by a sharp drop. In just 24 hours, Azalea's MOTHER lost 41%, Rich The Kid's RICH fell 52%, and Jenner's crypto Solana tumbled 67%. Trippie Redd's BANDO, despite trading volume of $22.73 million, was trading at $0.00020, well below its launch price of $0.00047. Even the Jenner crypto Ethereum, after a peak on Thursday, lost almost 70% of its value.

Traders quickly felt the effects of these collapses. Lookonchain revealed that a trader, having previously made $3.7 million with the BOME memecoin, lost over $133,000 in one day with the Jenner crypto on Solana. Another victim, investing 1,208 SOL in JENNER, only got back 423 SOL, suffering a loss of 785 SOL, or approximately $133,400.

Crypto, suspicious activities and scandals

Suspicions of questionable activities surrounding these tokens were not long in coming. Bubblemaps, an onchain tools platform, has identified insider activity on Iggy Azalea's MOTHER crypto. They say insiders bought 20% of the offering before Azalea's announcement and paid $2 million. One wallet address even grabbed 12% of the total supply, or 119 million tokens, before quickly selling everything.

Davido's crypto has not escaped controversy. Lookonchain reported that DAVIDO's deployment address on Pump.fun spent seven SOL to acquire 203 million tokens, or more than 20% of the supply, before reselling them for approximately $474,400. While Davido was participating in a Twitter space with memecoin trader Ansem, this same address continued to unload his DAVIDO tokens.

At the same time, Caitlyn Jenner had to clarify that her Twitter account had not been hacked after initial doubts about the legitimacy of her publications. Later, she promised to donate to Donald Trump's campaign if her token reached a capitalization of $50 million, affirming her support for “ULTRA MAGA” and the protection of cryptocurrencies.

D-Grade Celebrities and Questionable Memes

The craze for celebrity memes and cryptos seems unquenchable, but it is worrying more and more experts. ZachXBT, a famous channel sleuth, highlighted meme scams backed by 'D' level celebrities like Davido, who are often involved in shady schemes, reports Crypto Potato.

Despite their backgrounds, these personalities continue to attract support every time they launch new projects. This frequently results in pump-and-dump schemes, where prices are artificially inflated before collapsing, leaving ordinary investors with considerable losses. ZachXBT reminds us that these celebrities are primarily looking for easy financial gains, offering minimal effort and value in return.

The recent story of celebrity-launched tokens is a stark reminder of the risks associated with investing in cryptocurrencies promoted by public figures. Behind the shine of famous names often lies a much darker reality, where losses can come as quickly as expected gains. Crypto investors should be extra careful and not be blinded by the fame of the promoters of these digital assets.