- After the contentious introduction of his memecoin on the Solana blockchain network, American rapper Juaquin James Malphurs, better known by his stage name Waka Flocka Flame, has drawn criticism.
The Atlanta-born rapper informed his 1.8 million followers on social media site X on Monday morning about the introduction of the Solana-based coin FLOCKA, along with its ticker symbol and contract address.
ZachXBT Indicates Questionable Behavior Associated with FLOCKA
But as soon as blockchain expert ZachXBT uncovered questionable activities pertaining to the token’s supply, the launch came under fire.
ZachXBT pointed out that a new wallet that was probably backed by an exchange swiftly obtained about 40% of the token supply and distributed it to other wallets.
On X, community members suggested alerting readers to the possibility that these acts could put them under pressure to sell.
Some X users were upset when they discovered through onchain data that FLOCKA had been active for at least an hour prior to Waka Flocka Flame’s tweet.
One user labeled the launch a total failure, stating that the contract address ought to have been given at the token’s initial pump.
After the initial fervor, FLOCKA’s value has dropped by almost 77% from its peak.
Among the numerous memecoins that have surfaced in the recent celebcoin fad is FLOCKA.
Memecoins on Solana have also been introduced by well-known figures including rapper Iggy Azalea, Andrew Tate, former professional wrestler Hulk Hogan, and others.
Rapper Lil Pump even went so far as to have the word “Solana” permanently inked on his forehead.
Nonetheless, a few of experts in the cryptocurrency space have expressed disapproval of the emergence of celebcoins.
The co-founder of Ethereum, Vitalik Buterin, voiced his displeasure with this pattern, saying that the celebrity experimenting in this cycle is making him feel very uncomfortable.
Though he questioned the idea of financialization as the end product, Buterin recognized the potential utility of financialization for good causes like open-source software, healthcare, and the arts.
Cryptocurrency Frauds Grow on X
Crypto frauds have flourished on X, with analysts attributing to scammers on the network a large percentage of all cryptocurrency scams.
A web3 anti-scam company called Scam Sniffer, which is active on X, did a study and found that account impersonation on X.com costs close to $50 million monthly.
Even while these issues were there before Elon Musk joined the platform, the public’s ongoing susceptibility to impersonation schemes may be exacerbated by the uncertainty surrounding the new owner’s contentious paid verification service.
Anyone with a smartphone may sign up for the service and get verified, which could make it harder to tell the difference between real and fraudulent accounts.
Yi He, a co-founder of Binance, recently expressed worries about the rise in cryptocurrency frauds on X and questioned whether Musk would take any effort to address the problem.
Many X accounts of well-known businesses and cryptocurrency influencers have fallen prey to frauds since the start of 2024, which aim to trick additional people into falling for fictitious promos.
A phony notification about the licensing of Bitcoin ETFs was released in January through the hacking of the US regulator SEC’s X account.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
