The rise of celebrity-backed Memecoins tokens continues to elicit both optimism and concern in the crypto space. While some tokens show promise, the prevailing sentiment is one of caution, as data shows that many celebrity-backed projects have ended as investment fails.
In a recent tweet, an X user, Slorg, listed about 30 unsuccessful celebrity projects launched on the Solana network while informing investors to display caution before putting funds into any prospective celebrity token.
Celebrity Token Fails
Top on the list of failed celebrity crypto projects was Andrew Tate’s DADDY token. The former professional kickboxer promoted the DADDY token on X amidst controversy. Although the token did well at some points even hitting a $300 million market capitalization in June, it is now valueless according to the chart.
Iggy Azalea’s MOTHER token was no exception as the token has dropped to a negative 78.68%. The MOTHER token launched by the Australian rapper and model had shown positive signs earlier this month after Iggy announced that MOTHER holders could buy mobile phones and pay for monthly subscription plans with the token.
The token also surged over 50% from $0.030 to $0.047 after MOTHER partnered with the global cryptocurrency investment firm, DWF Labs. Despite its previous performance, recent market data indicates a current decline in the token’s valuation.
Another token that failed to meet expectations is the DAVIDO token. Some hours after the Nigerian artist Davido (David Adedeji Adeleke) launched the token, he realized over $470,000 in profits.
The enormous gains Davido caused ZachXBT, a renowned crypto detective to raise concerns about the legitimacy of the token. ZachXBT considered the musician’s new token as a potential rug pull given Davido’s past involvement in controversial projects like RapDoge, Echoke, and the massive Nigerian Ponzi scheme, Racksterli.
Vitalik Buterin Warns Against Celebrity-endorsed Memecoins
Ethereum founder, Vitalik Buterin, also skeptical of celebrity-backed memecoins showed his displeasure with what he described as ‘experimentation’.
Buterin added that the Stoner Cats projects, despite its failure, showed more promise than most celebrity memecoins launched in 2024. He said, “Ashton and Mila’s Stoner Cats was vastly more honorable than anything we’ve seen from this 2024 celebrity memecoin era—at least there was an actual show being funded.”
