Waka Flocka's New Memecoin

Waka Flocka's New Memecoin

Financememecoin

By Jakub Lazurek

17 Jun 2024 (25 days ago)

3 min read

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Rapper Waka Flocka Flame faces backlash over his new Solana-based memecoin, FLOCKA, amid concerns of transparency and potential market manipulation.

Rapper Waka Flocka Flame, also known as Juaquin James Malphurs, is facing criticism after launching a Solana-based memecoin called FLOCKA. Early Monday, the Atlanta rapper shared the new token's ticker and contract address with his 1.8 million followers on the social media platform X, accompanied by a short video stating, "We live right now."

Shortly after the announcement, well-known blockchain investigator ZachXBT raised issues. He noted that a newly created wallet funded via an exchange acquired around 40% of the FLOCKA supply and then distributed it to other wallets. ZachXBT provided on-chain evidence, leading to community notes warning of potential selling pressure.

Onchain data showed FLOCKA had been active for at least an hour before Malphurs' tweet. This upset many users on X, who felt the contract address should have been shared earlier. One user commented, "You needed to give the [contract address] when it was on pump fun, not after it launched," calling the launch a "complete fail."

After an initial surge from Malphurs' post, FLOCKA's value dropped, now down about 77% from its peak. The Block has reached out to Waka Flocka Flame for comment.

FLOCKA is among several memecoins in the celebcoin sector. Other celebrities launching Solana-based memecoins include rapper Iggy Azalea, internet personality Andrew Tate, and former wrestler Hulk Hogan. Rapper Lil Pump even posted what seemed to be a tattoo of the word Solana on his forehead.

Many in the crypto industry are unhappy with the celebcoin trend. Ethereum co-founder Vitalik Buterin has voiced his concerns. Buterin said he feels "quite unhappy about 'this cycle’s celebrity experimentation.'" He added, "Financialization as a means toward an end, I can respect if the end is worthy (healthcare, open source software, art, etc.)," but criticized "financialization as the final product."

The backlash against Waka Flocka Flame's FLOCKA token reflects broader skepticism about celebcoins. Many in the community worry that these tokens are more about quick profits for celebrities than contributing to the blockchain ecosystem. FLOCKA's sharp value drop after its initial pump highlights these risks.

As celebrity-endorsed cryptocurrencies continue to emerge, it's uncertain how these tokens will perform long-term. Criticism from the community and experts suggests celebs need to approach these ventures with more transparency and responsibility. Without clear communication and genuine intent, skepticism will persist.

Buterin’s comments highlight a broader call for responsible financialization in crypto. Projects that prioritize long-term value and meaningful contributions are more likely to gain respect and support. Ventures seen as cash grabs will continue to face criticism.

The controversy around Waka Flocka Flame's FLOCKA token serves as a warning for celebrities and investors. As the crypto market evolves, transparency, responsibility, and genuine value creation are crucial. Celebrities entering crypto should adhere to these principles to avoid backlash and contribute positively to the blockchain community.

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