Hailey Welch, known as the “Hawk Tuah Girl” from a viral video, launched the HAWK memecoin on December 4, 2024. The token’s value skyrocketed shortly after its release, only to nosedive by over 90% within 20 minutes. This rapid decline led to allegations of a “rug pull” scam, where insiders profit at the expense of regular investors.
Welch denied any wrongdoing, stating that neither she nor her team sold any tokens and that no key opinion leaders were given free tokens. Despite these claims, analysis revealed that 96% of the HAWK supply was concentrated among a few wallets, raising concerns about insider trading.
This incident highlights the risks of investing in cryptocurrencies based solely on celebrity endorsements. Memecoins often lack intrinsic value and are subject to extreme volatility. Investors should exercise caution and conduct thorough research before investing in such assets.
Remember, just because a celebrity promotes a coin doesn’t mean it’s a sound investment. Always do your due diligence to protect your hard-earned money.
