Solana
Iggy Azalea’s MOTHER Token Launches on Solana and Increases in Value 230x
- After launching with a market cap of less than $50,000, the market cap jumped to $16.6 million.
- Allegations of insider trading emerged but 2.4 million MOTHER tokens were burned.
It seems like it’s 2021 again as celebrities are now flocking to the crypto market. But this time, NFTs are not the strong point. Instead, these famous people launch tokens, particularly memecoins, in their name.
The last personality in this activity was Iggy Azalea who launched her token with the ticker “MOTHER”. By DEXSceener, the MOTHER token jumped 230x a few hours after its launch.
Azalea follows Jenner’s place
The token was the second celebrity-linked cryptocurrency on the market. Solana [SOL] after Caitlyn Jenner’s first gesture. At press time, the MOTHER crypto market cap was $16.6 million.
The price, on the other hand, was $0.016, representing an increase of 81.34% in the last 24 hours. However, AMBCrypto noticed one thing about JENNER and MOTHER: they were both started by the same “influencer marketing guy.”
According to our investigation, a certain Sahil Arora took credit for the deployment. And Iggy Azalea and Caitlyn Jenner have not denied these claims.
However, there was one thing common to both memecoins, and that was controversy. For example, during JENNER’s launch, the American media personality accused Arora of trying to “rip off” her and the community.
It was also a similar situation for Australian rapper Azalea. However, it seems that the strategy was planned so that the token could attract a lot of attention and people would buy into it.
Insiders may have put retail in trouble
Even though the MOTHER token has generated gains for many holders, there have been allegations of insider trading. Bubblemaps, a blockchain data visualizer, was at the forefront of the allegations.
For context, insider activity occurs when someone with non-public knowledge of a project uses the information to their advantage.
Most of the time, this comes at the expense of traders. According to Bubblemaps, insiders purchased 20% of the MOTHER token at launch.
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Additionally, the handle noted that those involved had already airdropped $2 million worth of token before Azalea announced it publicly.
Giving more information about the incident, Bubblemaps explained that,
“The JEEt3D1 wallet, known as @invicible on http://pump.fun, purchased 109T MOTHER (10% of supply) before splitting it into 7 wallets. Of these, 89T tokens have already been sold.
He also added that the portfolio made $1.4 million in gains, as well as an additional $400,000 in unrealized profits. As of press time, Azalea has not responded to these claims.
Will burning tokens save MOTHER?
Instead, the official X handle of the MOTHER token indicated that it was burning some of the supply. In crypto, token burning ensures that the cryptocurrency is scarce.
Therefore, this helps increase the value as demand increases. According to Solscan data2.46 million MOTHER tokens were burned.
If more of the supply is burned, then the price could rise. Additionally, this could strengthen predictions that memecoin could reach $50 million in market capitalization.
Despite the green candlesticks that MOTHER might have produced, there is no guarantee that the token will remain relevant in the long term.
Furthermore, voices were heard in some corners that celebrity participation in the token launch was a sign of the end of this cycle. At the same time, others argued that this was just a phase that would fail.
Whichever side you fall on, retail investors may need to be wary. Most of these tokens have no use or fundamental principles.
It is also possible that more tokens like MOTHER will appear and the liquidity of Iggy Azalea’s project will switch sides. If this is the case, the price of the cryptocurrency could fall.
Read by Solana [SOL] Price prediction 2024-2025
If we stick to the law of supply and demand, this could stop the price of MOTHER. Whether the token proves otherwise, time will tell.
But from now on, more tokens deployed in the name of celebrities could rise.