Hawk Tuah Girl Coin Faces Scandal: Was It a Pump-and-Dump Scheme?
The Rise and Fall of HAWK Memecoin
Hailey Welch, famously known as the “Hawk Tuah Girl,” launched her much-anticipated memecoin, $HAWK, on the Solana blockchain at 10:00 pm UTC on December 4.
Initially, the coin surged to a market cap of $500 million, only to plummet to $60 million within 20 minutes. This sharp decline left many investors reeling from heavy losses, with some claiming to have lost their life savings.
The sudden collapse has led to widespread accusations of Welch orchestrating a “rug pull” and running a pump-and-dump scheme, leaving the 21-year-old internet personality embroiled in controversy.
Shocking On-Chain Insights: $HAWK’s Alarming Statistics
According to DEXScreener, $HAWK debuted at $0.005492, skyrocketed to $0.04916, and then nosedived by over 90%. On-chain data highlights that certain traders, known as “snipers,” exploited the launch, reaping significant profits. For instance, one wallet alone sold over 135 million $HAWK tokens, making $1.3 million in a single trade.
Further investigations by Solscanner revealed that insiders and snipers controlled 80-90% of the coin’s supply. One wallet purchased 17.5% of the total supply for $993,000 and cashed out just 90 minutes later for a hefty profit.
Legal Trouble Looms for Hailey Welch
The crash has spurred legal scrutiny, with several investors reportedly filing complaints with the SEC against Welch. Users on X (formerly Twitter) have alleged insider trading, citing that 96% of the $HAWK supply is concentrated among 10 interconnected wallets. Community notes have flagged Welch’s social media posts, further fueling the controversy.
What’s Next for $HAWK?
While some investors demand accountability, others anticipate potential regulatory action against Welch. The dramatic fallout of $HAWK has not only dented investor confidence but also spotlighted the risks associated with memecoins.
The controversy surrounding Hailey Welch and her $HAWK memecoin serves as a cautionary tale for crypto enthusiasts, emphasizing the need for vigilance in the volatile world of cryptocurrency.