Allegations of Insider Trading in Memecoin Projects
Blockchain analytics platform Bubblemaps has made claims of significant insider trading activity in memecoin projects recently promoted by Andrew Tate and Iggy Azalea.
Despite evidence of wallets purchasing large amounts of tokens before their launches, there is no direct link to Tate or Azalea.
The allegations, shared through tweet threads, have caused a stir in the crypto community. While some have criticized the alleged insider trading, others believe it’s common in memecoins.
Andrew Tate and $DADDY Coin
Bubblemaps alleged that insiders bought 30% of the $DADDY coin supply at launch, totaling over $45 million across 21 wallets.
On June 9, a transaction transferred 40% of the $DADDY supply to Tate’s wallet before he promoted the coin. Tate claims he won’t sell any tokens and still holds them.
However, on-chain data shows several wallets purchased 20% of the supply before the project was announced. Bubblemaps reported:
“11 wallets, funded through Binance, bought 20% of $DADDY on June 9th, before @DaddyTateCTO’s first tweet.”
These wallets now hold about 19% of the total supply, valued at $30 million. Bubblemaps suggested these wallets may belong to the same group.
Two other clusters bought 10% of the supply before Tate’s promotions, holding tokens worth $16 million.
While suspicious, there’s no concrete evidence linking these wallets to Tate or his associates. These remain allegations based on transaction patterns.
Tate responded on social media, stating he won’t sell the tokens and will only burn or buy them.
Iggy Azalea and $MOTHER Coin
Bubblemaps also alleged insider trading in the $MOTHER coin, promoted by Iggy Azalea. Insiders reportedly bought 20% of the supply at launch and sold $2 million worth of tokens.
A key wallet purchased 109 trillion $MOTHER tokens before distributing them, making a profit of $1.4 million.
The wallet transferred funds to other profitable wallets, earning about $800,000 by selling 8% of the token’s supply.
Just like the $DADDY coin case, there’s no direct evidence linking these addresses to Azalea or her associates. These are allegations against wallets based on transactional patterns.
