TLDR
- Kanye West launches YZY token on Solana with $2B initial market cap.
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YZY is listed on West’s official site and store as payment option.
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Analysts report early insider trading, including $1.5M profit from a wallet.
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Token peaked at $3B market cap before falling to $1.05B amid volatility.
U.S. rapper Ye, formerly known as Kanye West, announced the launch of his own cryptocurrency, Yeezy Money (YZY), on the Solana blockchain. A post on his X account described it as “A NEW ECONOMY, BUILT ON CHAIN” and included the token’s contract address.
The announcement directs users to a website where the cryptocurrency can be bought, sold, or sent. According to GMGN.Ai data, the token’s market capitalization initially reached about $2 billion. The website promotes YZY as a tool to “put you in control, free from centralized authority” and includes Ye Pay, a crypto payment processor, and a YZY credit card.
Kanye West YZY Mixed Reactions and Doubts on Legitimacy
Many X users questioned whether West’s account had been hacked due to the sudden launch. Some recalled a February post where West rejected launching a coin to avoid exploiting fans with hype.
Despite this, the YZY token is listed on West’s official website and store, indicating the venture may be legitimate. The website notes that the token is intended as an “expression of support” rather than an investment opportunity.
On-chain analytics firm Lookonchain reported multiple insider wallets purchased YZY immediately at launch. One wallet, identified as 6MNWV8, earned over $1.5 million from early sales.
YZY quickly reached a $3 billion market capitalization within 40 minutes of its release but fell to approximately $1.05 billion by the time of reporting, according to Nansen.
The website restricts the token’s availability in certain jurisdictions and warns users of potential risks, including total loss of investment. Analysts have highlighted that only YZY tokens were added to the liquidity pool, allowing developers to sell tokens by modifying liquidity, raising insider trading concerns.
Conor Grogan, director at Coinbase, noted that 94% of the token supply was initially held by insiders. One multisig wallet alone controlled 87% of the supply before distribution.
Celebrity Tokens and Market Behavior
Despite concerns, several prominent crypto traders purchased YZY, citing liquidity and volume as attractive factors.
Leverage trader James Wynn mentioned that whales would likely be drawn to the token and compared its potential to Donald Trump’s memecoin, which grew rapidly in 28 hours.
BitMEX co-founder Arthur Hayes also bought the token, reflecting ongoing interest in celebrity-backed cryptocurrencies. Previous celebrity tokens have shown high volatility, such as Argentina’s President Javier Milei’s LIBRA token and Trump’s TRUMP token, which surged rapidly before losing value after public scrutiny.
