Kanye West’s YZY token Launch plunges Due to Insider Selling
kanye West’s newly launched YZY cryptocurrency has faced a dramatic crash within 24 hours of its introduction. The token initially soared to a $3 billion market cap but quickly plummeted to $300 million.
The main culprit appears to be insider trading. Large investors, known as whales, accumulated ample quantities of YZY tokens before its official debut.They then offloaded these tokens swiftly,leading to the notable price drop.
Smaller investors did not fare well. While 9,413 wallets gained over $10, 15,999 wallets lost more than $10. This indicates that ordinary traders suffered more than they benefited.
- Whales profited at the expense of smaller holders.
- Many users experienced losses during the token’s volatile first day.
Kanye recently shared on social media that he had been approached with a $2 million offer to promote a fraudulent crypto token for eight hours. He later deleted the post without admitting to an account hack.
This incident further underscores the risks associated with celebrity-backed cryptos. Investors must remain cautious when engaging with such assets.