Former Mayor of New York City, Eric Adams, is facing backlash for endorsing a cryptocurrency that experienced a significant price drop shortly after its launch.
Adams introduced the NYC Token, a memecoin touted as a crypto asset with a noble cause.
“Proud to launch @buynyctoken, a new token designed to combat the rise of antisemitism and anti-American sentiments in New York City and beyond.”
Following its launch, the token saw a surge in value. However, data from the decentralized exchange tracker Gecko Terminal revealed a sharp drop from $0.8 to $0.1116.
“The token has now plummeted by 81% from its peak, with @Bubblemaps highlighting suspicious liquidity pool activity where the team withdrew $1 million.”
Allegations of a rug pull scam have surfaced against the former mayor, suggesting a quick sale of investments by the asset creators.
Rune Crypto on X reported,
“Eric Adams, the former NYC mayor, has allegedly drained liquidity from his new memecoin, $NYC, deceiving investors of over $2,536,301.”
He launched the $NYC memecoin just half an hour ago, only to remove its liquidity after promoting it on his personal social media, presenting it as the NYC token.”
The team behind the memecoin denied the rug pull allegations, maintaining the NYC Token’s integrity.
“Due to the overwhelming demand and support at launch, our partners had to adjust the liquidity. We understand the concerns raised about liquidity removal transactions and have taken steps to address them. The team has initiated funds for TWAP and added additional liquidity. We are committed for the long run!”
Stay updated with us on X, Facebook, and Telegram
Never Miss a Story – Subscribe for email alerts straight to your inbox
Track Price Movements
Explore The Daily Hodl Mix
Image Source: Midjourney