Kanye West’s YZY token, launched on the Solana blockchain on August 21, 2025, quickly became the center of a heated debate over market manipulation, insider trading, and the volatile nature of celebrity-backed meme coins. The token, branded under the “YEEZY MONEY” initiative, initially surged to a market capitalization of over $3 billion, only to plummet by approximately 80% in the following days, leaving many retail investors with significant losses.
The first major transaction on the YZY token involved a well-known trader in the memecoin space using the pseudonym “Naseem.” According to blockchain analytics from BubbleMaps, Naseem spent $250,000 in USDC to acquire around $1.2 million worth of YZY tokens. Within hours, Naseem executed two quick sales totaling $535,000 and further cycled liquidity through a Meteora pool, eventually cashing out nearly $1.02 million in USDC. This rapid profit-taking highlighted the alleged insider advantage and the effectiveness of Naseem’s strategy, who had previously made millions from similar tactics on tokens like TRUMP and LIBRA [1].
Despite the YZY team’s efforts to implement anti-sniping measures—such as deploying 25 different contract addresses and one randomly selected as the official token—these safeguards appeared insufficient against experienced traders and insider activity. On-chain data revealed that YZY’s token distribution was highly concentrated, with insiders controlling over 70% of the supply. Analysts noted that this structure left retail investors with a minimal chance of securing tokens through fair means, reinforcing suspicions of pre-arranged allocations [2].
Further scrutiny emerged as on-chain analyst Lookonchain identified several wallets linked to large YZY trades, including one that spent $450,000 in USDC to purchase 1.89 million YZY tokens and later sold them for a profit of $3.37 million. Another wallet reportedly paid 129 SOL (~$24,000) in priority fees to ensure it was among the first to execute a trade. Additionally, a wallet associated with Hayden Davis, a controversial advisor to the LIBRA meme coin, was observed making purchases in YZY, raising further concerns about potential coordination between past and current projects [3].
Kanye West’s public stance on meme tokens had previously been critical. Earlier in 2025, he dismissed such projects as manipulative and deceptive to fans. However, his sudden reversal—promoting YZY extensively on social media and even appearing in a promotional video—has sparked questions about the authenticity of his involvement. Some users speculated that his account may have been compromised or taken over by a separate team, citing irregularities in his account activity. While Kanye denied these claims, the inconsistencies in his messaging have led to widespread skepticism about the project’s true intent [2].
Beyond the on-chain anomalies, the YZY token’s legal structure also drew attention. Its whitepaper included a “class action waiver” clause, which barred investors from filing collective lawsuits against the project team. This provision, while not uncommon in speculative markets, was seen as a red flag by many, as it significantly limited investors’ legal recourse in the event of a project collapse. Analysts noted that such legal protections are often used in high-risk speculative ventures to insulate insiders from accountability [3].
As the dust settles, the YZY token has become a cautionary tale in the memecoin space. While a small number of early participants reaped substantial profits, the majority of retail investors—including one who reportedly lost over $1 million—were left to absorb steep losses. The token’s trajectory mirrors past celebrity-backed meme coins, many of which have seen dramatic collapses after initial hype. For now, YZY remains a symbol of both the potential and the perils of leveraging celebrity influence in the crypto market.
Source:
[1] Kanye West’s YZY Token Launch Sparks Trading Frenzy Despite Anti-Sniping System (https://cryptodnes.bg/en/kanye-wests-yzy-token-launch-sparks-trading-frenzy-despite-anti-sniping-system/)
[2] Kanye West’s YZY Meme Coin Bloodbath: One Trader Lost $1M (https://finance.yahoo.com/news/kanye-west-yzy-meme-coin-143308494.html)
[3] Kanye’s Meme Coin YZY: From a $3 Billion Myth to Market Manipulation Suspicions (https://superex.medium.com/kanyes-meme-coin-yzy-from-a-3-billion-myth-to-market-manipulation-suspicions-a-capital-509ebcda8a89)
