Blockchain analytics platform Bubblemaps has recently brought to light some concerning information regarding insider trading in meme coin projects promoted by well-known personalities such as Andrew Tate and Iggy Azalea. These allegations have sparked debate within the crypto community and raised questions about the fairness and integrity of such projects.
The allegations detailed in a June 12 thread by Bubblemaps suggest that at the launch of the DADDY coin, insiders had acquired a significant portion of the token supply, amounting to over $45 million spread across 21 wallets. On June 9, a transaction moved 40% of the DADDY supply to Andrew Tate’s wallet right before he started promoting the coin on his social media platforms. Additionally, on-chain data from Bubblemaps revealed that 11 wallets, funded through Binance, purchased 20% of DADDY on June 9, prior to the official announcement of the project. These wallets now collectively hold approximately 19% of the total supply, valued at $30 million.
Bubblemaps also uncovered two additional clusters linked via a particular wallet that acquired 10% of the DADDY supply, valued at $16 million, before Tate’s promotional efforts. The firm expressed concern that any sales from these clusters and Tate’s unburned tokens, making up 40% of the total supply, could potentially impact the coin’s liquidity. Tate responded to these allegations by stating that he would never sell what was sent to his wallet and would only burn and buy, claiming to have “diamond hands.”
According to DEXScreener, the Daddy Tate (DADDY) coin has experienced a surge in its market capitalization, reaching $259 million and currently trading at $0.25, showing a significant increase over the past 24 hours. Meanwhile, Bubblemaps had previously implicated Iggy Azalea in similar activities related to the MOTHER coin. The firm alleged that insiders had purchased 20% of the MOTHER supply at launch and subsequently sold $2 million worth of tokens, leading to a decrease in market capitalization and price for the Mother Iggy (MOTHER) token.
These revelations have sparked debate within the crypto community, with differing opinions on the matter. Some view the incident as a “good insider launch,” while others argue that there is no such thing as a fair launch in meme coins, suggesting that such occurrences are commonplace. The controversy surrounding these allegations raises important questions about transparency, fairness, and ethical practices within the cryptocurrency space.
The alleged insider trading activities in meme coin projects promoted by Andrew Tate and Iggy Azalea serve as a reminder of the risks and challenges associated with the cryptocurrency market. It is crucial for investors and participants in the industry to remain vigilant, conduct thorough research, and exercise caution when engaging in such projects. The ongoing debate surrounding these allegations underscores the importance of promoting transparency, integrity, and accountability within the crypto community.
