Memecoins endorsed by Andrew Tate, a controversial figure on social media, have suffered a massive drop, losing around 99% of their value. Tokens such as Germany Token (GER), Roost (ROOST), and others saw a sharp decline following Tate’s promotion. Allegations of insider trading and manipulation have emerged, as most of these memecoins had no intrinsic value and were highly speculative.
Andrew Tate, along with other celebrities like Caitlyn Jenner, 50 Cent, and Iggy Azalea, backed several Solana-based memecoins that quickly crashed. Investigative YouTuber Coffeezilla and blockchain analyst Bubblemaps have pointed to suspicious activities surrounding these tokens, including price manipulation and insider trading.
The endorsements began in June 2024, and within a few months, nearly all of the promoted tokens had lost the majority of their value. By October 2024, most of the endorsed memecoins had dropped by over 90%, according to reports.
These memecoins were primarily launched and traded on the Solana blockchain, a platform known for hosting various meme-based cryptocurrencies. As these tokens gained traction through celebrity endorsements, they quickly lost value, leaving many investors at a loss.
The severe price decline has raised questions about insider trading and manipulation. For example, The Roost (ROOST) token dropped over 90%, and its treasury wallet was reportedly hacked, leaving the community with significant losses. Andrew Tate has even posted on social media, hinting at his ability to influence crypto prices, leading to further speculation about his role in these market manipulations.
Investigations revealed that large clusters of wallets controlled substantial portions of these tokens, indicating coordinated efforts to inflate and then dump the assets. Tate’s controversial social media posts suggested that he could manipulate the market, which caused prices to surge and crash. Other celebrity-backed tokens, such as UFC fighter Khamzat Chimaev’s Smash (SMASH) and Caitlyn Jenner’s Jenner (JENNER), also experienced significant losses. Despite some traders profiting from brief price hikes, the majority of investors faced devastating losses.