Hailey Welch, the 22-year-old woman who achieved internet fame this summer for her viral “hawk tuah” TikTok video, launched her own memecoin in her latest bizarre career move, only for its value to plummet almost immediately.
Welch became famous over the summer for her viral “Hawk Tuah” TikTok video. (Photo by Michael Tullberg/Getty Images)
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Key Takeaways
- Welch launched the Hawk Tuah coin—widely seen as a memecoin, or a form of cryptocurrency that is typically created for entertainment purposes—on the Solana blockchain Wednesday evening.
- Welch’s coin quickly hit a market capitalization of nearly US$500 million before immediately plummeting 95% to US$25 million as of Thursday afternoon, according to DexScreener data.
- The coin’s price as of Thursday afternoon after 4 p.m. EST is $0.002439, down from a high of $0.04916 Wednesday evening, according to DexScreener.
- The chaotic launch appeared to result in big losses for some traders.
- Coffeezilla, a crypto YouTuber with more than 3 million subscribers whose real name is Stephen Findeisen, said in a tense X space conversation with Welch and her team the Hawk Tuah rollout was “one of the most miserable, horrible launches I’ve ever seen,” accusing Welch and her team of insider trading, which they denied.
- CoinTelegraph reported about 80 to 90% of the Hawk Tuah supply was controlled by insiders or snipers—or entities that purchase large amounts of a coin’s supply at its launch—citing blockchain data from Bubblemaps and DexScreener, though Welch said in a post on X her team had not sold any tokens and they “tried to stop snipers as best we could.”
- Forbes has reached out to Welch’s management for comment.
Tangent
Memecoins are cryptocurrencies that attempt to capitalize on popular social media memes, including the highly valued Dogecoin and Pepe coin. Memecoins, though, are considered highly volatile and risky by crypto investors as they are dependent on fluctuating social media trends.
Could Welch’s Memecoin Launch Have Legal Repercussions?
After the Hawk Tuah coin sparked backlash on social media, Burwick Law, a firm that specializes in cryptocurrency, posted on X urging people who lost money on the memecoin to reach out to “learn about your legal rights.”
Still, it’s unclear whether the crash will have legal consequences, and there is no clear evidence of wrongdoing or illegality. Some critics have speculated—without proof—Welch’s coin was launched as part of a “pump and dump” scheme, in which the value of an asset, including a cryptocurrency, is quickly inflated and then sold off, causing the value to crash.
The CFTC first cracked down on crypto pump and dumps in March 2021, charging two individuals on multiple counts of fraud for deceiving crypto investors and profiting more than $2 million in one such scheme.
Key Background
Welch achieved internet fame over the summer after a man-on-the-street interviewer filmed her for a TikTok video and asked “move in bed makes a man go crazy,” to which Welch said, “you gotta give him that ‘hawk tuah.’” The video took off in June, prompting Welch to quickly release merchandise. She curated a popular social media presence, joining Instagram in July and posting pictures with celebrities including Matt Rife and JoJo Siwa.
She joined country star Zach Bryan onstage at a June concert and threw out the first pitch at a New York Mets game in August. Welch launched a podcast, “Talk Tuah,” in September, which quickly found popularity and at one point ranked as the fifth most-popular podcast on Spotify’s daily charts, behind only Joe Rogan’s show. The podcast is owned by boxer and social media personality Jake Paul’s company Betr. She has hosted guests including Wiz Khalifa, Mark Cuban and Brooke Schofield on her podcast. Last month, Welch launched an AI-powered dating app, “Pookie Tools,” which includes a chatbot that helps with conversation starters, dating app profile tips and date outfit recommendations.
Big Number
2.6 million. That’s how many Instagram followers Welch has, indicating her rapid rise to internet fame.
