Celebrity-Backed Tokens Plunge, Iggy Azalea's 'MOTHER' Defies Trend
Summary:
Several celebrity-endorsed tokens launched last week have dropped significantly, with JENNER, DAVIDO, and RICH falling at least 66% from their peak values. However, the MOTHER token, introduced by rapper Iggy Azalea, has managed to defy this trend, reaching a $134 million market cap. While some authorities have expressed indifference to this new wave of celebrity-backed coins, others suggest the profits could be put to better use.
Last week, a host of new tokens backed by celebrities made their debut, but most, including JENNER, DAVIDO, and RICH, have dropped by at least 66% from their high point. However, one token defied this trend and continues to hit new records. Among these new celebrity tokens, the "JENNER" token, introduced by the famous American media figure Caitlyn Jenner on May 28, gained significant attention. Initially, several speculated that this token was the result of a deep fake X account hack. JENNER managed a $30 million market cap in the first 24 hours as individuals pondered online whether the celebrity had truly backed the token. Despite Jenner's confirmation of its validity, it plunged 79% from its peak of $0.0061. Still, with a market cap of $6.1 million, the 'JENNER' token remains significant, though its price has been relatively stable within the last week.
The "RICH" token backed by American rapper, Rich the Kid, also caught the eyes of memecoin traders on its launch last week. However, its market cap has now dwindled to $678,000. Another type, Timeless Davido (DAVIDO), introduced by Nigerian artist David Adedeji Adeleke Oon, has experienced a decrease of over 66% to $0.0011 after attaining a high of $0.0033 on May 30.
Tokens connected to famous boxer Floyd Mayweather and American musicians Moneybagg Yo (SPEAK) and Trippie Red (BANDO) have also fallen about 90%.
The outlier in this trend is the 'MOTHER' token, launched by rapper and model Iggy Azalea. This mom-inspired token, introduced on May 29, managed to avoid the decline typically seen with celebrity-backed crypto assets. 'MOTHER' reached a $134 million market cap on June 6, setting a new record high price of $0.1272.
Azalea introduced 'MOTHER' shortly after Sahil Arora, notorious memecoin collaborator, launched the Iggy Azalea (IGGY) token which failed to attract memecoin traders and subsequently led to his suspension from social media platform X.
Hayden Adams, who is known as the architect of the decentralised exchange Uniswap, raised no objections regarding the latest surge of celebrity memecoins, but suggested that celebrities could put their profits to better use. He suggested that “Iggy could have responded positively, and used profits to donate to a social cause.” Vitalik Buterin, a co-founder of Ethereum, held a similar perspective – financialization only becomes worthwhile when it brings societal value, like enhancing healthcare or supporting art and creativity.
Source: wale.mocaMagazine: 5 traps to avoid when diving into Solana memecoins
Published At
6/6/2024 8:20:21 AM
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