Backlash Hits ‘Hawk Tuah’ Cryptocurrency Launch: What You Need to Know!
Haliey Welch, the 22-year-old sensation who took TikTok by storm this summer with her viral “hawk tuah” video, is now facing heavy criticism over the rocky launch of her very own cryptocurrency.
In a bold move to capitalize on her newfound fame, Welch and her team introduced $HAWK, a meme coin designed purely for entertainment. However, the launch on the Solana blockchain was anything but smooth; prices plummeted almost instantaneously, leaving many investors in shock.
Doubts are swirling that Welch may have crossed a line with the Securities and Exchange Commission (SEC), the federal agency responsible for regulating financial markets, including the wild world of crypto.
According to a Rolling Stone report, numerous investors have already lodged complaints with the SEC, accusing Welch and her collaborators of executing a “rug pull.” This term refers to a scenario where developers artificially inflate the value of a crypto project before cashing out and leaving investors holding the bag.
In an attempt to clear the air, Welch and her team quickly took to social media, insisting that their meme coin was never intended to be a scam.
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Meet Haliey Welch: The ‘Hawk Tuah Girl’
Welch’s fame skyrocketed last summer when a YouTuber captured her cracking a risqué joke during CMA Fest in Nashville. Since then, she’s transformed into a celebrity, influencer, and marketing guru.
She built a powerhouse team, including an attorney, management company, and PR agency, and launched her own company, 16 Minutes. She even kicked off a podcast, Talk Tuah, and shared the stage with country sensation Zach Bryan and NBA star Shaquille O’Neal.
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Is Welch in hot water over her crypto?
Despite her rapid rise to fame, Welch is now navigating stormy seas with her cryptocurrency venture.
The Hawk Tuah crypto, much like Dogecoin connected to Elon Musk, draws inspiration from viral memes.
Initially, the coin reached an astonishing market cap of nearly $500 million, only to see its value plummet by 95% to $25 million just days later, resulting in heartbreaking losses for many traders, as reported by CoinTelegraph.
CoinTelegraph also revealed that about 80% to 90% of the Hawk Tuah supply was controlled by so-called snipers, who manipulate the market by purchasing large quantities, quickly cashing in, and leaving others in the dust.
The launch has turned into a whirlwind of controversy, sparking intense backlash across social media platforms.
Some investors on social media are reportedly taking legal action against Welch, while a law firm specializing in cryptocurrency, offered services to those who suffered financial losses.
In a recent audio event on X Spaces, renowned crypto YouTuber Coffeezilla characterized the launch as “one of the most miserable, horrible launches I’ve ever seen,” even accusing Welch of insider trading—a claim she and her team denied.
In a post on X, Welch maintained that her team had not sold any tokens and that they did their best to prevent snipers from manipulating the launch.
USA TODAY has reached out for comment from Welch’s representatives as of Friday morning.
Contributing: Melonee Hurt, Nashville Tennessean
Eric Lagatta covers breaking and trending news for USA TODAY. Reach him at [email protected]
