A federal lawsuit has erupted against the creators and promoters of the Hawk Tuah (HAWK) meme coin, igniting a firestorm of controversy in the crypto community. Investors are alleging that the token was marketed as an unregistered security, leading to significant financial losses after a staggering 90% price drop. 📉💔
1️⃣ The Dramatic Rise and Fall of HAWK
Launched on December 4, the HAWK token initially boasted a market capitalization of around $16.6 million. Within mere hours, this figure skyrocketed to an astonishing $491 million! 🚀 However, this meteoric rise was short-lived, as the token's value plummeted, leaving many investors reeling from their losses. The plaintiffs, a group of 12 American residents, claim to have lost over $151,000 due to this dramatic collapse.
2️⃣ Allegations of Misleading Marketing
The lawsuit, filed in the U.S. District Court for the Eastern District of New York, accuses the Tuah The Moon Foundation, OverHere Ltd, and key individuals involved in the project of misleading marketing practices. The plaintiffs argue that the creators portrayed HAWK as more than just a speculative asset, framing it as a movement with immense growth potential. 🌱✨ Influencer Haliey Welch, dubbed the "Hawk Tuah girl," played a significant role in promoting the token through her social media platforms and podcast, which allegedly lent it an air of credibility.
3️⃣ The Pump and Dump Accusations
As the price of HAWK soared, suspicions began to mount. Many investors accused the creators of orchestrating a "pump and dump" scheme, where the price is artificially inflated before insiders sell off their holdings for profit. 😡💸 Complaints have been lodged with the U.S. Securities and Exchange Commission (SEC), urging an investigation into the token’s launch and the marketing tactics employed.
4️⃣ The Controversy Surrounding Token Control
Adding fuel to the fire, it was revealed that a staggering 96% of the token’s supply was controlled by a small number of wallets. Some of these wallets sold large quantities of HAWK shortly after the launch, further intensifying suspicions of a coordinated effort to inflate the price before dumping the token. 🔍💣
5️⃣ Defendants Respond to the Allegations
In response to the backlash, OverHere Ltd, which partnered with the project, claimed it made no profit and was merely operating under a contract. The company’s representatives pointed fingers at Doc Hollywood, a key figure in the project, for mishandling token decisions. They stated that it was time for Welch to address the ongoing issues surrounding the project.
6️⃣ Legal Maneuvers and Regulatory Concerns
The lawsuit also highlights concerns that the defendants attempted to structure the project to evade U.S. securities laws by establishing the Tuah The Moon Foundation as an offshore entity. The plaintiffs argue that despite these efforts, the token’s sale was aimed directly at U.S. investors, raising serious legal questions. ⚖️🌍
This case adds to a growing list of high-profile failures in the celebrity-endorsed crypto space, where other projects have faced similar accusations of market manipulation and heavy concentration of token supply among a select few.$USUAL
$TIA
$SOL
As the legal proceedings unfold, the outcome could have significant implications for the future of meme coins and influencer-led projects in the cryptocurrency market. The scrutiny surrounding these ventures is intensifying, and investors are left wondering about the safety and legitimacy of their investments.
Conclusion
The saga of the Hawk Tuah meme coin serves as a cautionary tale for investors navigating the volatile world of cryptocurrency. With legal battles on the horizon and regulatory scrutiny increasing, the stakes have never been higher.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research before making any investment decisions.
🤔 What do you think? Share your theories and speculations in the comments below! 💬
#CryptoControversy #HawkTuah #MemeCoinMadness

🔔 MARKET MOVING NEWS! (20/12/24)

1️⃣ Aptos Labs Co-Founder Mo Shaikh Steps Down As CEO 👀

Mohammad Shaikh, the co-founder and CEO of Aptos Labs, has reportedly resigned from his position to "start a new chapter." Shaikh stated that Avery Ching, the firm's co-founder and CTO, will now assume the CEO position "to drive the company into its next phase of growth."

Shaikh wrote,

Today I am stepping away from Aptos Labs to start a new chapter. One of my true passions lies in building companies from the ground up and we have done that at Aptos Labs by building a world-class team. I leave Aptos Labs with the utmost confidence in the team, and strongly believe the talent and drive of Aptos Labs will bring our collective vision to life in the near future.

2️⃣ Bitcoin Miners MARA and Hut 8 Boost Their BTC Treasuries With Big Buys 💰
$BTC
Bitcoin mining companies MARA (formerly Marathon Digital) and Hut 8 both announced substantial BTC purchases on Thursday. Specifically, MARA stated that it acquired 15,574 BTC for about $1.53 billion ($98,529 per BTC) using proceeds it raised from 0% convertible notes offering in November and December. This brings MARA total BTC holdings to 44,394 BTC, valued at $4.45 billion. As for Hut 8, the firm stated that it acquired 990 BTC for approximately $100 million. This brings the total BTC held in its strategic Bitcoin reserve to 10,096 BTC, valued at more than $1 billion as of Dec. 18.

3️⃣ Investor Lawsuit Filed Against Hawk Tuah Memecoin Creators, Partners ▶️ #hawktuah
#Memecoin
Investors in the Hawk Tuah (HAWK) memecoin have reportedly filed a lawsuit against several entities involved in the launch. The lawsuit alleges that the defendants, namely the Tuah The Moon Foundation, OverHere Ltd, Clinton So, and Alex Larson Schultz, engaged in the promotion and sale of an unregistered securities offering. The complaint claims the pre-launch marketing efforts surrounding HAWK provided "reasonable expectation of profits," and the token's success relied on Welch and her project team's efforts. The complaint states that the twelve plaintiffs who invested in HAWK based on this promise, collectively experienced a financial loss of $151,000.

4️⃣ Bitfinex Hacker Makes Plea From Prison for Rapper Wife ❓
Ilya Lichtenstein, the hacker currently serving a five-year prison sentence for stealing billions from crypto exchange Bitfinex, has reportedly made his first public comments since being sentenced. The statement, released as a video on social media, claims neither his wife Heather Morgan nor his father Eugene Lichtenstein were directly tied to the 2016 theft of 120,000 BTC.

Lichtenstein stated,

I planned and executed the Bitfinex heist entirely by myself. And I am the one who bears full responsibility for everything that has happened. Any allegations that my elderly and not-at-all tech-savvy father had any involvement in any hacking activity ever are completely false and frankly absurd […] While it is true that my wife pleaded guilty to laundering a small portion of the funds, she was in no way involved in the hack itself. In many ways my wife, who I love so, so much, is just another victim of my bad decisions.
5️⃣ SEC Approves First Hybrid Bitcoin-Ethereum ETFs From Hashdex, Franklin Templeton ‼️
$BTC $ETH
The United States Securities and Exchange Commission (SEC) has reportedly approved Hashdex and Franklin Templeton’s respective Bitcoin and Ether index exchange-traded funds (ETFs). Specifically, the SEC authorised Nasdaq to list the Hashdex Nasdaq Crypto Index US ETF and the Cboe BZX Exchange to list the Franklin Crypto Index ETF.  Senior Bloomberg ETF analyst Eric Balchunas expects the funds to launch in January with an approximate 80% Bitcoin and 20% Ethereum split.

6️⃣ El Salvador Buys 11 BTC Only A Day After Reaching A Deal With IMF 💸 #ElSalvadorBTCReserve
El Salvador’s National Bitcoin Office has announced that it had transferred over a million dollars worth of BTC to its Strategic Bitcoin Reserve. A website tracking these purchases shows that it had added 11 BTC to its holdings. Notably, the purchase comes just a day after the country struck a $1.4 billion deal with the International Monetary Fund that stipulated limits on dealing with the asset. Stacy Herbert, the head of El Salvador’s National Bitcoin Office, wrote on X that the country may even continue buying the cryptocurrency at an “accelerated pace” going forward.

The crypto world was left reeling after the highly anticipated $HAWK memecoin, associated with viral star Haliey Welch—known online as “Hawk Tuah”—saw its value plummet by 95% within minutes of launch. The coin, which debuted with a market cap of approximately $425 million, nosedived to $30 million in just 20 minutes, leaving investors stunned and holding substantial losses.
A Turbulent Debut for $HAWK
Launched on December 4th, the memecoin sparked massive interest, with fans and crypto enthusiasts rallying behind Welch’s larger-than-life persona. However, what began as a promising venture turned into chaos as traders accused the $HAWK token of being a “pump and dump” scheme.
Social media platforms lit up with outrage and memes, and the hashtag #HawkTuah trended internationally. Many questioned whether Welch, whose online brand is built on humor and relatability, was fully aware of the complexities and risks of launching a cryptocurrency.
A Disastrous Livestream Response
In the hours following the crash, Welch and her team hosted a Twitter X Spaces livestream to address the controversy. However, the session quickly descended into disarray, with conflicting explanations and mounting criticism from participants. Welch abruptly ended the livestream, signing off with, “I’m going to bed. See you guys tomorrow.”
Since that night, Welch has gone silent. Her social media accounts and popular Talk Tuah podcast have been inactive, fueling speculation about her whereabouts and involvement in the debacle.
Investors Take Legal Action
The fallout escalated this morning as several investors filed a lawsuit against the entities behind the memecoin. The lawsuit targets the Tuah The Moon Foundation, OverHere Ltd. (the coin’s creator), and its promotional team. Notably, Welch herself is not named in the legal action.
Social Media Reacts
The crypto community has reacted with a mix of outrage and humor, with some mocking Welch for entering the volatile world of cryptocurrency without adequate preparation. Others expressed sympathy, suggesting that she may have been unwittingly caught in a poorly managed project.
What’s Next for Hawk Tuah?
As Welch remains silent, questions linger about her involvement and the future of the $HAWK memecoin. Whether this was an unfortunate misstep or a cautionary tale of influencer-driven cryptocurrency projects, the incident serves as a stark reminder of the risks in the crypto space.
For now, the world is left wondering: where is Hawk Tuah, and will she address the storm her name is tied to?

#hawktuah $SOL #haileywelch #cryptonews

On December 4, 2024, Hailey Welch, the viral sensation behind the TikTok meme “Hawk Tuah,” made headlines again by launching her own memecoin on the Solana blockchain. 🌐 After skyrocketing to fame from a cheeky video clip, Welch is now venturing into the world of cryptocurrency, but potential investors should tread carefully. ⚠️
The Rise of Hailey Welch 🌟
Hailey Welch, a Tennessee native, became an internet phenomenon after her appearance in a video by Tim Dickerson and DeArius Marlow, known as Tim & Dee TV. In the clip, she was asked to describe “a move in bed that would drive a man crazy,” to which she responded with the now-infamous phrase “Hawk Tuah.” This moment quickly went viral, garnering millions of views and transforming her into a meme queen with over 2.5 million followers on Instagram. 📸
Initially, Welch was taken aback by her sudden fame and even requested the video to be taken down. However, as the attention grew, she decided to capitalize on her newfound notoriety. She launched her podcast, “Talk Tuah,” which climbed to fourth place on the U.S. Spotify charts by the end of September. 🎙️ Her viral status even caught the eye of Elon Musk, who reportedly reached out to her on social media.
Entering the Crypto Space with $HAWK 💰
In a bid to leverage her fame, Welch announced the launch of her memecoin, $HAWK, during an episode of her podcast and on social media platform X. The coin will be distributed through an allow list campaign, and Welch has partnered with Web3 Launchpad and the overHere platform to facilitate the launch. She aims to make the onboarding process as simple as possible for her fans, many of whom may be new to cryptocurrencies.
However, the memecoin landscape is fraught with risks, especially when it comes to tokens launched by celebrities. While Welch may have good intentions, the reality is that many memecoins associated with famous personalities often end up being speculative traps. 🚧
The Risks of Celebrity-Backed Memecoins ⚠️
Historically, memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) have thrived because they were community-driven projects without a central figure. In contrast, coins launched by celebrities often see a rapid rise followed by a steep decline in value. This pattern raises concerns about the sustainability of Welch's $HAWK token.
Investors should be wary of the potential for “pump and dump” schemes, where the initial hype drives up the price, only for the creators to sell off their holdings, leaving latecomers with worthless tokens. It’s crucial to remember that many celebrities lack a deep understanding of cryptocurrencies and may rely on external agencies to manage their token launches.
Conclusion: Proceed with Caution 🚨
While the allure of investing in a memecoin launched by a viral star like Hailey Welch may be tempting, it’s essential to approach with caution. The crypto market is littered with stories of investors who lost money on celebrity-backed tokens. As Welch embarks on this new venture, it’s vital for her followers and potential investors to do their due diligence and be aware of the risks involved.
In the end, while $HAWK may capture the excitement of the moment, it’s crucial to remember that not all that glitters in the crypto world is gold. 💔
#HawkTuah #MemecoinMadness #CryptoCaution $SOL

Can Hailey Welch Face Legal Trouble Over the Hawk Tuah Meme Coin Crash?
Hailey Welch, the creator of the viral "Hawk Tuah" meme, has landed in hot water after the launch of her meme-inspired cryptocurrency, $HAWK, took a dramatic turn. Introduced on the Solana blockchain on Wednesday, the coin's value initially soared to $500 million but plummeted to below $60 million within minutes, leaving investors outraged and raising questions about its legitimacy.

$HAWK's Rollercoaster Launch
The launch of $HAWK saw an explosive rise in valuation shortly after its debut. However, the swift decline in its market cap sparked allegations of a pump-and-dump scheme, a tactic often associated with crypto scams. Critics claimed the coin’s meteoric rise was artificially inflated, leaving many retail investors with heavy losses when the value tanked.
Within hours of its debut, law firms and investors began taking action:
- Burwick Law, a prominent firm, announced it was representing clients affected by $HAWK’s crash, urging victims to reach out for legal assistance.
- Social media platforms, especially X (formerly Twitter), were flooded with complaints and calls for regulators to intervene.
One frustrated user commented, "I hope she gets locked up so I don't have to see her on my timeline anymore."
Legal Scrutiny: Could Welch Face Charges?
Legal experts suggest Welch could face lawsuits or regulatory action if her project is deemed to have violated securities laws. In the U.S., the Securities and Exchange Commission (SEC) has increasingly targeted crypto projects under claims of misleading investors or unregistered offerings.
The sudden crash in $HAWK's value and allegations of inadequate safeguards against "sniping" (where bots or insiders manipulate prices during launch) have only intensified scrutiny. However, Welch’s legal culpability will depend on whether evidence shows intentional wrongdoing, such as insider manipulation or misleading marketing.
Hailey Welch Responds
In the wake of backlash, Welch and her team have denied any misconduct. Her manager stated, "We don't want to break securities laws. This project was, in a sense, a way to tokenize Hailey's fan base." Welch also took to X to address the criticism, claiming transparency:
- No Tokens Were Sold by the Team: Welch assured the community that her team had not sold any $HAWK tokens.
- Preventive Measures: She mentioned implementing high transaction fees at launch to deter bots and early manipulation, though these measures may have fallen short.
Lessons for Investors in Meme Coins
The $HAWK debacle highlights the volatility and risks associated with meme coins, especially those tied to internet personalities. Investors should:
- Research Thoroughly: Scrutinize the team, tokenomics, and project goals before investing.
- Be Wary of Hype: Avoid projects driven purely by viral trends without concrete use cases.
- Diversify Risks: Avoid putting significant funds into highly speculative assets.
What’s Next for Welch and $HAWK?
For now, Welch’s immediate future depends on how regulators respond and whether lawsuits gain traction. This case could also set a precedent for how personality-driven crypto projects are handled in the evolving legal landscape.
Stay tuned for updates on the $HAWK controversy and its potential impact on the meme coin market.

#hawktuah #rugpullalert