When music mogul Kanye West, now known as Ye, dropped his YZY cryptocurrency, it promised a new financial ecosystem. Instead, it became a harsh lesson for thousands of hopeful investors. The project, built on the Solana blockchain, quickly turned into a prime example of the risky world of celebrity-backed digital tokens.
New data from blockchain analytics firm Bubblemaps paints a clear picture. Out of over 70,000 people who traded YZY, a staggering 74% ended up losing money. These losses add up to roughly $74.8 million. More than 51,800 wallets saw losses between $1 and $1,000. Over 5,200 lost $1,000 to $10,000. Another 1,025 wallets watched $10,000 to $100,000 disappear. A smaller group of 108 wallets lost $100,000 to $1 million, and three unlucky wallets each lost over a million dollars.
On the flip side, 18,333 wallets did make money. Their total gains reached $66.6 million. But this money wasn’t spread evenly. A tiny group of 11 wallets snapped up 30% of all profits. Each of these wallets pocketed more than $1 million.
The updated numbers are worse than we thought
70,000+ total traders
> 51,862 lost $1–$1k
> 5,269 lost $1k–$10k
> 1,025 lost $10k–$100k
> 108 lost $100k–$1M
> 3 lost $1M+Meanwhile, 11 wallets made $1M+ pic.twitter.com/I9ZaBJepAM
— Bubblemaps (@bubblemaps)
The YZY token, launched on August 20, was supposed to be part of the “YZY Money” system. This system aimed to offer payment rails and its own branded card. Yet, the whole idea raised eyebrows from day one. Ye had previously spoken out against memecoins. He called them a way to “prey on fans with hype” and said they didn’t help people truly control their money. Despite these strong words, Ye quickly changed his tune. He pushed YZY hard on social media and his official website. This drew in tens of thousands of investors.
Hours after launch, the token’s value crashed by over 70%. DEXTools data confirmed this swift drop. People pointed to low liquidity, fast speculation, and possible insider moves. The token’s setup didn’t help. Chain data showed 70% of the initial supply went to Yeezy Investments. Only 20% was sold to the public, and 10% was for liquidity. This structure made it easy for insiders to pull out funds quickly, leaving regular buyers vulnerable.
Who Got Rich? The Insiders
This huge difference between winners and losers has sparked talk of insider trading. Beyond the 11 wallets identified by Bubblemaps, earlier reports from Nansen showed more. Thirteen top wallets sold during YZY’s peak. They took home a total of $24.5 million. Even famous influencer Andrew Tate reportedly lost money in the venture.
One notable winner is Hayden Davis. He’s an advisor linked to the controversial LIBRA token. That token caused a political fuss in Argentina earlier this year. Bubblemaps claims Davis secured $12 million. He used a technique called “sniping,” which uses bots to buy huge amounts of tokens right at launch. Researchers also identified a pseudonymous trader named “Naseem” as an early YZY investor. Naseem previously made $100 million from Donald Trump’s TRUMP token.
YZY Falls After Initial Hype
Today, YZY’s market value has shrunk to $553 million. This is a far cry from its initial peak of $3 billion. GMGN.Ai reported these figures. The token’s liquidity sits at $25 million. It now has only 26,346 holders. Daily trading volume has dropped to $1.6 million. This shows how quickly interest faded after the first rush.
The YZY incident fits a pattern. Celebrity memecoins often benefit insiders. Most small investors are left holding the bag. Bubblemaps has openly criticized these tactics. They say it’s the “same playbook repeated.” Insiders “infiltrate big launches, get in early, and extract millions.” The firm recently posted on X, “Last week truly exposed the failures of our industry… Despite our collective efforts… the same names keep running the same scams.” They added, “It’s happening in plain sight and nobody stops it.” post
Neither Ye nor his team has commented on these reports. They also haven’t replied to media requests. As of this writing, YZY trades at $0.55 per token. This is 82% below its highest price of $3.20 on its first day.