Kanye West Memecoin Tanks After Hype Surge

Key Takeaways

• Over 51,800 traders lost money on the Kanye West memecoin (YZY).

• The token rallied 1,400%, then crashed over 80% within days.

• Just 11 wallets made more than $1 million; 99 made over $100K.

• High-profile traders like Andrew Tate lost big, with Tate reportedly losing $700,000.

• Suspected insiders like Hayden Davis and Naseem’s network may have profited early.

Kanye West Memecoin Surges, Then Crashes Hard

The Kanye West memecoin (YZY) launched on the Solana blockchain on August 21st, skyrocketing an incredible 1,400% in the first hour.

However, the price plummeted shortly after, falling more than 80% from its peak. What began as a hyped launch turned into a cautionary tale about the dangers of celebrity-endorsed crypto tokens.

Over 70K Wallets Involved, But Most Lost

According to blockchain data platform Bubblemaps, over 70,200 wallets were involved in YZY trades. Shockingly, more than 51,800 wallets ended up in the red.

Source: Bubblemaps

Among those:

• Three traders lost more than $1 million each

• Just 11 wallets made over $1 million in profit

• 99 wallets profited more than $100,000

“Meanwhile, 11 wallets made $1M+,” Bubblemaps posted on X.

The statistics underline how a select few insiders may have capitalized early, while most retail investors bore the brunt of the losses.

Celebrity-Endorsed Tokens Keep Failing

The Kanye West memecoin is part of a broader trend where celebrity-endorsed tokens on Solana launch with hype and crash soon after.

A Trader Falling For The Kanye West Memecoin Scam

Source: X (@CryptoHayes)

In June 2024 alone, more than 30 celebrity tokens hit the market, including ones linked to:

• 50 Cent

• Caitlyn Jenner

• Iggy Azalea

• Ronaldinho Gaúcho

Each saw price drops of over 73.23%.

Andrew Tate’s Ongoing Involvement

Andrew Tate has been actively endorsing Solana memecoins since June 7th, 2024, backing over 10 different tokens. Nearly all of them have lost more than 99% of their value, suggesting a pattern of rapid pump-and-dump cycles.

The Current State of YZY: Price & Wallet Activity

At the time of writing, YZY is trading at $0.5515, down more than 80% from its all-time high. According to TradingView, only 19,531 traders currently hold the token.

Hayden Davis & The Sniper Network

Bubblemaps has also pointed fingers at Hayden Davis, co-creator of the Melania memecoin (MELANIA) and the controversial Libra token.

Davis reportedly “sniped” the YZY launch and walked away with $12 million in profits, just one day after a judge unfroze $57.6 million in USDC connected to the Libra scandal.

Bubblemaps warned:

“Despite our collective efforts… the same names keep running the same scams.”

The “Naseem” Network Strikes Again

A separate network of snipers tied to a trader named Naseem was also among the first to buy into YZY. This group has a reputation for scooping up tokens early and flipping them for millions.

Moreover, Naseem is said to have made over $100 million on the TRUMP memecoin alone.

FAQ

What is the Kanye West memecoin?

YZY is a Solana-based memecoin loosely associated with rapper Kanye West. It gained viral attention in August 2024 due to celebrity hype.

Is the YZY token officially endorsed by Kanye West?

There is no confirmed official endorsement from Kanye West. Like many celebrity tokens, it’s unclear whether the celebrity is directly involved.

Why did so many traders lose money?

Many traders bought in during the post-launch hype. The token crashed by over 80%, resulting in mass losses — especially for late entrants.

Are celebrity memecoins safe to invest in?

No. Celebrity memecoins are highly speculative, lack intrinsic value, and are often exploited by insiders or early buyers.

Who profited the most from YZY?

According to Bubblemaps, a small group of wallets — including those potentially tied to Hayden Davis and Naseem — profited millions by getting in early.