Kanye West's YZY Token Surges 1400% Then Plummets 73% Amid Insider Trading Concerns

Generated by AI AgentCoin World
Saturday, Aug 23, 2025 9:25 am ET1min read
Aime RobotAime Summary

- YZY, a Kanye West-linked memecoin, surged 1400% post-X announcement but plummeted 73% as early buyers offloaded holdings, raising market manipulation concerns.

- The first buyer, AwY1VTM……HJh, previously earned $100M from TRUMP memecoin trades, highlighting recurring patterns of insider advantage in memecoin launches.

- YZY's tokenomics (70% supply retained by Yeezy Investments) and automated trading strategies exacerbated volatility, with $740M in trading volume but heavy retail losses.

- Analysts warn Solana-based memecoins face risks from concentrated supply control and bot-driven trading, intensifying calls for regulatory oversight amid ethical concerns.

YZY, a memecoin linked to Kanye West’s Yeezy brand, has drawn considerable attention due to its apparent connection with the earlier

memecoin. Blockchain analytics firm Bubblemaps identified the first buyer of YZY as an address that previously earned $100 million from trading TRUMP, revealing a pattern of high returns and potential insider influence in memecoin launches [1]. This address, known as AwY1VTM……HJh, is linked to repeated memecoin snipes and has been identified as a key player in automated trading strategies [2].

The YZY token’s launch followed a familiar trajectory: a dramatic 1,400% surge in value after being announced on X (formerly Twitter), followed by a sharp decline as early buyers offloaded their positions [3]. The token’s price dropped by 73% within hours, raising concerns about market manipulation and uneven access to information [4]. Analysts suggest that the rapid, coordinated selling was indicative of pre-planned exits by those with early knowledge of the token’s release [5].

YZY’s tokenomics mirror those of TRUMP, with 20% of the supply released publicly, 10% allocated to liquidity pools, and the remaining 70% retained by Yeezy Investments LLC, which cannot access its holdings for at least three months [6]. This structure has historically led to concentrated control and volatile price movements, as seen in the TRUMP case [7]. According to Nansen, over $740 million in trading volume has been recorded since the launch, but most retail investors have faced losses [8].

The YZY launch also saw a trader reportedly making $1.77 million in under 10 minutes by buying $500,000 of the token shortly after the X announcement [9]. This highlights the information asymmetry and speed advantages enjoyed by a few, raising ethical concerns about fairness in such speculative markets [10]. Analysts warn that the concentration of supply and the use of automated trading bots in Solana-based memecoins pose significant risks to retail investors [11].

Bubblemaps noted the strong on-chain links between the YZY and TRUMP trades, with the same entity executing both the $250,000 YZY buy and earlier TRUMP profits [12]. While no formal regulatory actions have been taken, the event has intensified discussions about the vulnerabilities in memecoin launches and the need for greater oversight [13].

Source:

[1] https://coinmarketcap.com/community/articles/68a9bd9a591a840d675646e5

[2] https://coingape.com/whale-behind-100m-trump-gains-tied-to-kanye-wests-yzy-insider-trading/

[3] https://www.ainvest.com/news/kanye-west-yzy-token-surges-1400-celebrity-driven-meme-coin-frenzy-2508/

[4] https://cointelegraph.com/news/yzy-token-bloodbath-sees-coordinated-snipers-extract-millions-from-kanye-fans

[5] https://www.wired.com/story/kanye-west-memecoin/

[6] https://www.ainvest.com/news/naseem-turns-1-1m-trump-token-stake-100m-yzy-traders-face-80-losses-2508/

[7] https://www.mexc.com/en-GB/news/investigating-kanye-wests-yzy-chaos-insider-bragging-trump-libra-connection-and-more/69773

[8] https://nansen.ai/reports/yzy-token-launch-analysis

[10] https://www.coindesk.com/markets/2025/08/21/insiders-cash-in-millions-as-ye-formerly-kanye-west-apparently-issues-yzy-token

[11] https://www.fxleaders.com/news/2025/08/23/whale-tied-to-100m-trump-gains-linked-to-kanye-wests-yzy-token-crash/