Here’s everything we know so far about the Hawk Tuah girl’s cryptocurrency controversy, as investors have launched a legal case against her.
The Hawk Tuah girl’s cryptocurrency venture has turned into a legal nightmare.
As the controversy surrounding her memecoin, $HAWK, continues to unfold, many are left questioning what went wrong.
Here’s a breakdown of the key events and details about the ongoing legal case.
How Haliey Welch became the center of a cryptocurrency controversy
Haliey Welch first gained internet fame with her viral NSFW video in June, sparking interest and discussions worldwide.
By September, she cemented her status as a celebrity by launching her own podcast, “Talk Tuah”.
However, her unexpected foray into the cryptocurrency world in 2024 caught many by surprise.
Welch launched $HAWK, a Solana-based memecoin, and some investors were eager to buy in.
The $HAWK memecoin’s dramatic fall in value
Despite initial excitement, $HAWK quickly plummeted in value. Within just 20 minutes of its release, the token’s value dropped from $490 million to around $41 million.
Additionally, experts have called this a classic “rug pull,” where early investors make a profit by buying cheap tokens and selling them at a higher price.
December 4 – $HAWK is released and the price collapses
On December 4, Welch launched $HAWK, expecting it to be a successful venture.
However, the token’s value dropped drastically on the same day, losing more than 95% of its worth. News outlets reported the dramatic crash, leaving many investors disappointed.
December 6 – Welch responds to the controversy
Welch denied the accusations of a rug pull in a livestream on Twitter.
Addditionally, she explained that her team hadn’t sold any tokens, and that high initial fees were set to prevent snipers from profiting.
However, many users claimed that Welch’s team had sold tokens from the start, accusing her of lying and misleading investors.
December 16 – The memecoin platform speaks ou
The platform behind $HAWK, OverHere, issued a statement explaining what had happened.
They described Welch’s coin launch as an attempt to bridge Web2 and Web3.
However, they claimed that as “desperation” set in, the project’s conditions were watered down. They also pointed fingers at an individual named Doc Hollywood, who allegedly controlled all token decisions and fees.
December 19 – The lawsuit is filed
The situation took a legal turn when a lawsuit was filed against the $HAWK team.
While, the suit accused them of unlawfully promoting and selling the memecoin without proper registration.
Named in the lawsuit were Tuah The Moon Foundation, OverHere Ltd, and several team members, including Alex Larson Schultz.
Although Welch wasn’t directly named in the complaint, her social media presence was allegedly used to promote the token.
December 20 – Welch addresses the lawsuit about cryptocurrency controversy
Welch issued a statement on December 20, expressing her commitment to resolving the matter.
Additionally, she assured fans and investors that she was cooperating with the legal team to hold the responsible parties accountable. Welch emphasized that she was dedicated to uncovering the truth and ensuring the investors affected by the controversy were supported.
She wrote on her Twitter platform: “I take this situation extremely seriously and want to address my fans, the investors who have been affected, and the broader community.
“I am fully cooperating with and am committed to assisting the legal team representing the individuals impacted, as well as to help uncover the truth, hold the responsible parties accountable, and resolve this matter.”
In short, as the legal case develops, investors and the broader community await answers on what went wrong with the cryptocurrency launch.