Influence Doesn’t Create Value: The Rise and Fall of Celebrity Tokens

When Kanye West’s YZY token launched, it skyrocketed to a $410 million market cap within an hour—only to plummet nearly 70% the same day. The token’s trajectory mirrored countless influencer-driven projects: rapid hype, followed by a brutal collapse. On-chain data revealed four wallets controlled 80% of the supply, fueling suspicions of a pump-and-dump scheme.

Crypto sleuths uncovered deleted tweets where Ye allegedly rejected a $2 million promotion deal for a fake token, raising questions about the legitimacy of the launch. The episode underscores a harsh truth: celebrity endorsements can ignite memecoins, but without substance, they crumble under scrutiny. Retail investors, left holding the bag, learned the hard way that viral buzz doesn’t equate to lasting value.