YZY Hype Machine Leaves Traders Nursing Millions in Losses on Ye-Linked Token

Buying the YZY token apparently linked to Ye, the rapper formerly known as Kanye West, ended in tears for more than 70,000 wallets, Bubblemaps, a blockchain data visualization tool, said in a post on ￰0￱ Solana-based memecoin's debut last week was part of a “YZY Money” ecosystem plan, which included payment rails and a branded card. On-chain data, however, suggests that insider and early wallets, combined with thin liquidity and rapid speculation, resulted in a launch where whales extracted millions, while the crowd shouldered nearly all of the ￰1￱ than 51,800 addresses appear to have lost between $1 and $1,000, another 5,269 are down $1,000 to $10,000, and 1,025 wallets shed $10,000 to $100,000, according to Bubblemaps' ￰2￱ the top of the loss curve, 108 wallets are sitting on six-figure drawdowns, while three traders lost more than $1 million ￰3￱ the other side of the calculation, 11 addresses booked profit of $1 million or more, just 0.015% of the ￰4￱ estimated 99 wallets generated over $100,000, while 2,541 wallets cleared at least $1,000.

The crowd as a whole is down some $8.2 million, despite some insiders pocketing substantial ￰5￱ while 18,000 wallets technically profited, the concentration was ￰6￱ real money sat with the top 11, while the rest barely moved the ￰7￱ lopsided distribution reflects the structural flaws flagged from day one, as CoinDesk noted in its earlier story. A full 70% of the supply was earmarked for Yeezy Investments LLC, locked under Jupiter’s vesting system, with only 20% sold to the public and 10% used for ￰8￱ pool itself was seeded with YZY tokens alone without a stablecoin pair — a design that leaves the door open to sudden liquidity pulls, not unlike the short-lived LIBRA token promoted in Argentina in February.

On-chain analysts identified wallets with early ￰9￱ the time of the issuance, address 6MNWV8 spent 450,611 USDC for 1.29 million YZY at $0.35, flipped 1.04 million tokens for 1.39 million USDC, and still holds roughly 249,907 YZY worth about $600,000 to make a quick $1.5 million ￰10￱ of Thursday, YZY’s market cap has deflated to $544.9 million with $42.7 million in liquidity and 26,590 holders, down sharply from the initial frenzy that briefly saw valuations touted as high as $3 ￰11￱ volume has slumped to $1.8 million, DEXTools data shows, a fraction of early activity. YZY’s performance closely mirrors that of many celebrity-based memecoins , where the chance of hitting life-changing gains is effectively zero unless you were already in on the ￰12￱ has contacted Ye by email for comment.