- SHIBโs executive team sends a cryptic message to SHIB Army regarding celebrity endorsements.
- Caitlyn Jenner-themed JENNER, Iggy Azaleaโs MOTHER plunged over 50% over the past 24 hours.
- On-chain detectives share evidence of foul play as Iggy Azaleaโs MOTHER is likely tied to a known scammer.
Lately, the meme coin world has seen a flurry of new celebrity-themed tokens, whether endorsed by the celebrities themselves or known crypto influencers. To illustrate the celebrity meme coin madness, rapper Iggy Azaleaโs Mother Iggy (MOTHER) coin has seen an incessant promotional campaign on X, previously known as Twitter.
The Dark Side of Strong Celebrity Presence In Crypto
Answering the rising number of celebrity-endorsed new coins, Shiba Inuโs marketing lead, Lucie S., warned the community about the luring dangers of heavily endorsed celebrity-themed cryptocurrencies. Firstly, Lucie described her mild shock when she saw the increasingly strong presence of celebrities in crypto.
โI was easily starstruck by their presence in crypto. But after an interesting chat with a friend and reading a few posts on Twitter, letโs step back and breathe.โ, explains Shiba Inuโs Lucie, being a huge fan of musicians and celebrities herself. โJust because someone makes music you love doesnโt mean they know crypto well,โ uttered Lucie, as Azaleaโs cryptocurrency dipped nearly 60% over the past 24 hours.
Hereโs How to Spot Shady Celebrity Endorsements
Do Your Own Research (DYOR), encourages Lucie. Shiba Inuโs market lead is referring to the danger of rug pulls. Rug pulling is a common way to exit meme coin positions by dumping the token on unsuspecting crypto investors soon after the tokenโs deployment. Moreover, the latest celebrity-based pump-and-dump schemes are allegedly tied to a known crypto scammer, Sahil Arora.
Several public figures who recently launched their own cryptocurrencies voiced this tendency. For instance, American rapper Rich The Kid blamed Sahil Arora for hacking his Twitter account, which was later intensively used to promote the pump-and-dump RICH coin.
The Securities and Exchange Commission (SEC) also issued a similar warning in regard to the developments of celebrity-themed meme coins. In the warning message, the SEC describes how fraudulent crypto actors are taking advantage of new investors, jumping on the bandwagon, and taking out liquidity at everyone elseโs expense. In order to prevent this, the SEC recommends โnever making investments based solely on information from social media platforms or appsโ.
On the Flipside
- Blockchain analytics platform Bubblemaps has found proof of โhuge insider activityโ, claiming that the recent 60% plunge in Mother Iggy (MOTHER) coin can be attributed to one of the insiders selling over 10% of the coinโs supply on May 29, 2024.
Why This Matters
The proliferation of celebrities in the crypto sphere has the power to drive up market sentiment, but also stain the blockchainโs reputation if the count of fraudulent projects continues to rise.
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