The cryptocurrency world is buzzing after Shytoshi Kusama, the enigmatic leader of the Shiba Inu (SHIB) ecosystem, issued a strong condemnation of the HAWK coin, a new meme coin launched by influencer Hailey Welch. Kusama took to X (formerly Twitter) to address swirling rumors and accusations linking the Shiba Inu project to HAWK’s spectacular rise and subsequent crash.
In a series of tweets, Kusama clarified their involvement, stating that Welch’s team approached them months prior to the launch with a promotional offer, an offer Kusama explicitly rejected. However, Kusama confirmed they had accepted an airdrop of HAWK tokens intended for the SHIB community, emphasizing that Shiba Inu’s decentralized nature meant this airdrop would have been distributed regardless of any endorsement. Kusama highlighted that the Shiba Inu ecosystem has established mechanisms to handle such airdrops, drawing parallels to past instances with tokens like Leash.
Despite accepting the airdrop, Kusama expressed vehement disapproval of HAWK’s launch, characterizing it as a blatant “pump and dump” scheme. The swift and dramatic decline in HAWK’s value, plummeting from a market capitalization of $425 million to a mere $27 million within hours, fueled accusations of insider trading against Welch, accusations she has denied. Kusama didn’t hold back, calling the project “trash” and the launch “terrible,” urging the SHIB community to avoid any involvement. The sharp criticism also extended to the project’s execution, which Kusama likened to the prevalence of shady practices on the Solana blockchain.
The controversy escalated further when accusations surfaced online pointing to the official Shiba Inu X account allegedly promoting HAWK. These claims ignited a wave of distrust and concern among SHIB holders who felt their community’s reputation was being tarnished by association. One user, Lola, shared a screenshot highlighting a tweet appearing to endorse HAWK. This further intensified the backlash against the perceived association between Shiba Inu and the suspected fraudulent activity surrounding HAWK.
The sudden collapse of HAWK’s value left many investors reeling, illustrating the high-risk nature of meme coins and the potential for manipulation within the cryptocurrency space. Kusama’s clear and decisive statement serves as a cautionary tale for investors, highlighting the importance of due diligence and skepticism when navigating the volatile world of cryptocurrencies. As of writing, the Solana-based HAWK coin remains significantly down, leaving many questioning the future of such projects and the responsibility of influencers promoting them. Benzinga reached out to HAWK’s team for comment but has yet to receive a response.
This event underscores the ongoing challenges in regulating the cryptocurrency market and the need for greater transparency and accountability from project creators and influencers.
