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cryptocurrency

Cryptocurrency

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Hawk tuah girl cryptocurrency lawsuit

Critics alleged that snipers — entities that snap up large amounts of a token supply at launch — caused the price-drop and held nearly all of the coin’s supply. A single wallet managed to buy nearly 20 percent of $HAWK’s supply and flip it for a $1.3 million profit two hours later, according to Cointelegraph.

Burwick PLLC, which teamed up with law firm Wolf Popper LLC, said that $HAWK’s token market capitalization “surged” to $491 million after launching on Dec. 4, but its “meteoric rise was short-lived, as the $HAWK token’s value plummeted by over 90% within hours, dropping below $100 million.”

The defendants’ promotional efforts emphasized community engagement and touted the $HAWK token as an “accessible entry point” into the cryptocurrency world for the average investor, the suit describes. According to the $HAWK token lawsuit, the project promised to “redefine the crypto space” and was promoted heavily online, including on X (formerly Twitter) and Welch’s “Talk Tuah” podcast.

Welch and her partners — Alex Larson Schultz, who goes by “Doc Hollywood” online, and Clinton So, whose platform overHere made the $HAWK offering — held an audio Spaces event on X (formerly Twitter) that night, trying to counter allegations of a scam. They faced tough questions from investors in the crypto scene and Stephen Findeisen, the YouTuber renowned for investigating crypto fraud under the handle Coffeezilla. Welch herself was almost completely silent for the hour-long conversation as Schultz and So repeatedly denied coordinating a pump-and-dump or “rug pull” scheme in which a cluster of wallets that originally held the vast majority of the overhyped $HAWK unloaded it in a coordinated fashion, leaving other investors with a worthless asset.

On Thursday, a lawsuit, filed in the U.S. District Court in New York, was filed against the $HAWK creators. Filed by investors, it accuses overHere Ltd., its founder, Clinton So, and social media influencer, Alex Larson Schultz, as well as the Tuah The Moon Foundation of unlawfully promoting and selling cryptocurrency that was allegedly never properly registered. Welch, however, is not named as a defendant in the suit.

She didn’t participate much in the space, only interjecting here and there. But her involvement abruptly ended when she declared she needed to go to bed as the coin’s creators were being grilled over the alleged scam.

hawk tuah girl cryptocurrency

Hawk tuah girl cryptocurrency

Although admitting to being “so embarrassed” in the days after her interview went viral, she quickly embraced her fame, quitting her job at a bed spring factory that same month and launching her own line of merchandise.

It lost more than 95 percent of its value in a single day when it was released on December 4. Lawyers for the investors wrote in their December 19 court filing that the lawsuit “arises from the unlawful promotion and sale of the Hawk Tuah cryptocurrency memecoin, known as the “$HAWK” token (the “Token” or “$HAWK”), which Defendants offered and sold to the public without proper registration.”

“I am fully cooperating with and am committed to assisting the legal team representing the individuals impacted, as well as to help uncover the truth, hold the responsible parties accountable, and resolve this matter.

The social media star issued a statement on X in December, explaining how she is taking the situation ‘extremely seriously’ and is ‘cooperating with the legal team representing the individuals impacted’, as well as ‘to help uncover the truth, hold the responsible parties accountable, and resolve this matter’.

The first said via a press release: “This extreme volatility left many investors, particularly first-time cryptocurrency investors drawn in by Haliey Welch’s involvement, facing significant financial losses.”

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