Celebrity Coins Chaos — Scammed, Hacked, and Dumped!

This Week In Crypto

Welcome to another week’s episode of This Week in Crypto! This week, the world of cryptocurrency has been rocked by the chaos surrounding celebrity coins. From allegations of scams to insider trading, it’s been a rollercoaster ride for investors. Let’s dive into it

1. Caitlyn Jenner and Rich the Kid Claim They Were Scammed in Memecoin Ventures
2. Iggy Azalea’s New Token Faces Insider Trading Allegations
3. PayPal’s Stablecoin on Solana Introduces Confidential Transfers

Caitlyn Jenner and Rich the Kid Claim They Were Scammed in Memecoin Ventures

Caitlyn Jenner and rapper Rich the Kid have recently voiced their allegations of being scammed by memecoin adviser Sahil Arora. This comes after a series of celebrity token launches on May 26 that saw significant initial success but rapid declines soon after.

Jenner’s X account made a bold statement: “FUCK SAHIL! He scammed us! BIG TIME,” directly addressing Arora’s involvement with the JENNER token. Despite the fallout, Jenner remains committed to investing in and promoting the JENNER token, stating that it “isn’t going anywhere but up” and indicating that Arora is no longer involved.

The JENNER token reached a market cap of $43 million within 24 hours but has since plummeted by 91.08% to $4.1million. The crypto community is divided over the authenticity of Jenner’s posts.

Rich the Kid also accused Arora of hacking his X account to promote the “RICH” token. He claimed Arora conducted a pump-and-dump scheme, pocketing the proceeds before blocking him. Jenner speculated that Arora would likely avoid launching more celebrity coins based on recent conversations.

In a related development, users on X linked the same cryptocurrency wallet address to both Jenner and adult content creator Kazumi, suggesting Arora’s involvement in multiple token launches. On-chain data, however, has not confirmed any large-scale dumps from the deployer wallet.

Iggy Azalea’s New Token Faces Insider Trading Allegations

Iggy Azalea’s newly launched memecoin, Mother Iggy (MOTHER), has come under scrutiny for alleged insider trading. Blockchain analytics firm Bubblemaps reported that an insider sold approximately 10% of the token’s supply shortly after its release on May 29.

The insider, associated with the account “JEET,” acquired over 109 million MOTHER tokens through an over-the-counter deal, later selling most of them at a profit. Solscan data revealed that JEET received 127.5 million MOTHER from the deployer account, transferring and selling these tokens across various wallets.

Azalea responded to the allegations, stating she has no control over what users do with their coins once received. She emphasized her opposition to dumping coins, which hinders her goal of integrating the token into pop culture.

Bubblemaps identified significant insider activity, claiming insiders purchased over 20% of the token’s supply directly from the launch team, with sales totaling over $2 million. The JEET wallet alone accounted for 12.75% of the token’s supply, with substantial profits realized from sales.

Azalea clarified that her token launch had no connection with Sahil Arora, distancing herself from other celebrity tokens associated with Arora.

PayPal’s Stablecoin on Solana Introduces Confidential Transfers

PayPal’s PYUSD stablecoin, newly deployed on Solana, now features “confidential transfers,” enhancing transaction privacy for consumers while ensuring regulatory visibility. This update, announced on May 29, signifies PayPal’s expansion beyond Ethereum, leveraging Solana’s advanced capabilities.

Confidential transfers will allow merchants to maintain transaction confidentiality, a feature long discussed but not implemented in Bitcoin. Helius Labs CEO Mert Mumtaz highlighted that Solana’s integration is not only about speed but also about native support for confidential transfers and token programmability.

Solana’s token extension standard offers compliance frameworks, reduced development time, and flexibility, making it compatible with various ecosystems beyond PayPal.

Launched in August 2023, PYUSD has seen a 50% increase in circulating supply since the start of the year. The stablecoin, issued by Paxos Trust Company, boasts a 24-hour trading volume of $18 million and a total circulation of $400 million, with $5 million now on Solana.