Celebrities Build Crypto Empires—But Can the Hype Sustain Value?

YZY, the meme coin launched by former rapper Kanye West—now known as Ye—has experienced a sharp decline, falling below $1.2 in recent trading activity. The token, built on the Solana blockchain, initially surged in value following its launch, briefly reaching a $3 billion market cap. However, its volatility has led to significant price corrections, with the latest data showing a 57% drop from its peak to as low as 1.36 USDT, according to Odaily Planet Daily News [3]. The token has also seen several short-term liquidation events, with the entire network’s liquidation surpassing $129,000 in one hour [3].

The YZY token is part of a broader ecosystem called YZY Money, which includes a payment processor, Ye Pay, and a YZY Card for spending digital assets. The token's initial distribution was structured with 20% allocated to the public, 10% to liquidity, and the remaining 70% to Yeezy Investments LLC, according to project documentation. To mitigate sniping and ensure fair distribution, the project deployed 25 contract addresses, with only one selected as the official token [1]. Despite these measures, the token's price has not stabilized, mirroring the unpredictable nature of the memecoin market.

YZY's sharp decline is in line with broader market trends. Memecoins, particularly those tied to celebrity influence, often exhibit extreme price swings driven by social media momentum and retail trading activity. For example, Donald Trump's memecoin, launched in January, saw its market cap peak at nearly $9 billion before falling to around $1.7 billion [2]. Similar to YZY, these tokens are highly dependent on the popularity of the associated meme or figure, which can lead to rapid inflows and outflows of capital.

In terms of performance, YZY's current price of $1.36 represents a 51.3% decline from an hour ago and a 33.7% drop since the previous day [4]. When converted to Ether (ETH), the price of 1 YZY is approximately ETH0.063224, with a total circulating supply of 999,968,803 tokens [4]. The token’s market cap has also fallen significantly, with its fully diluted valuation currently at ETH338.1945. The token has underperformed against broader market benchmarks, declining by 6.5% over the past month [4].

The volatility of YZY has attracted both retail and leveraged traders. One trader recently opened a 3x leveraged short position on the token, earning a floating profit exceeding $160,000 [3]. Such activity highlights the speculative nature of the token and the risks associated with leveraged trading in fast-moving markets. In the past hour alone, the entire network’s liquidation value exceeded $129,000, ranking YZY fifth in liquidation activity [3].

Experts and market observers have noted that YZY’s price movements reflect the broader dynamics of the memecoin market, where hype and celebrity endorsements can drive short-term momentum but lack long-term stability. The project, however, remains part of a growing trend where high-profile figures leverage blockchain technology to create decentralized financial systems. Whether YZY can maintain any lasting value will depend on its ability to attract sustained retail interest and develop a broader utility beyond its initial speculative appeal.

Source:

[1] title1 (https://cryptobriefing.com/yzy-meme-coin-solana-launch/)

[2] title2 (https://www.forbes.com/sites/digital-assets/2025/08/21/yeezy-money-kanye-west-yze-memecoin-hits-3-billion-amid-trump-fueled-crypto-and-bitcoin-price-boom/)

[3] title3 (https://www.odaily.news/en/newsflash/444308)

[4] title4 (https://www.coingecko.com/en/coins/swasticoin/eth)