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Andrew Tate’s DADDY Token Soars to $300M, Sparking Scam Fears Over Pre-Promotion Purchases

Last Updated June 13, 2024 2:54 PM
Giuseppe Ciccomascolo
Last Updated June 13, 2024 2:54 PM

Key Takeaways

  • Andrew Tate is promoting a new memecoin, DADDY, which reached a $300 million market cap in one day.
  • Tate’s heavy endorsement and his large stake in DADDY raise questions about his motivations and potential for price manipulation.
  • He also wants to see the new token prevail over Iggy Azalea’s MOTHER.

Social media influencer and former kickboxer Andrew Tate has ignited a cryptocurrency frenzy with his newly launched memecoin, Daddy Tate (DADDY ). The Solana-based token has experienced a meteoric rise in value, reaching a staggering market capitalization of $300 million within just one day.

However, this impressive surge is overshadowed by accusations of substantial insider trading surrounding the coin.

DADDY Token Soars To $300 Million

Andrew Tate, a former kickboxer and controversial social media presence, has ignited a cryptocurrency firestorm. His newly promoted memecoin, Daddy Tate (DADDY), has skyrocketed in value. One of Tate’s desires is to see DADDY prevail over MOTHER‘s memecoin as a show of masculine strength.

Despite accusations of substantial insider trading, DADDY, a Solana-based memecoin, has reached a market capitalization of $300 million  and is currently trading at $0.22, a staggering 200% increase in just one day. The market cap has fallen at $237 million at the time of writing.

$DADDY price performance
$DADDY price performance. l Source: DEX Screener

Tate has been actively promoting  DADDY recently. He positions it as a cultural revolution, aiming to prove the enduring power of masculinity and reach a $1 billion market cap. “If you want to be part of a movement and drive a coin to a billion-dollar valuation, showing the world that DADDY, men, and masculinity are here to stay, then you want $DADDY,” Tate said.

He further explained his support for the token, citing its message that resonates with him and the amusement he finds in proclaiming himself the “DADDY.”

The influencer claimed he would publicly burn it all once DADDY reached a market cap where his 40% stake was worth $100 million. His motivations are to prove his trustworthiness in the crypto world. But also to demonstrate he’s not after profits. He’s rendering it simply because it’s “funny” and a unique experience.

Why Scam Fears Amount

A recent investigation by Bubblemaps  has raised serious concerns about insider trading surrounding Andrew Tate’s memecoin DADDY. Their findings suggest that individuals with advanced knowledge (insiders) were able to acquire a significant portion (30%) of the token supply before Tate’s social media promotion.

These insiders are now sitting on a hefty profit, with their holdings exceeding $45 million worth of DADDY. Unsurprisingly, Tate responded to this revelation by blocking Bubblemaps  on social media.

Diving deeper, Bubblemaps identified a group of 11 wallets that collectively purchased a significant chunk (20%) of the DADDY supply on June 9th, even before Tate’s first post on X. These holdings have ballooned to a staggering $61.4 million. The wallets were all funded through Binance with suspiciously similar amounts simultaneously, hinting at coordinated activity.

While Bubblemaps acknowledges the limitation of definitively proving a single entity controls these accounts due to Binance funding, the timing, and identical amounts strongly suggest a connection. These wallets currently hold a concerning amount (around 19% of the total supply, worth $30 million), and a single wallet selling its holdings could significantly disrupt the token’s liquidity.

Adding to the concerns, the address responsible for deploying the DADDY contract allocated a hefty 40% of the token supply directly to Andrew Tate. While Tate purchased and burned a small amount ($10,000) of the asset, most of these tokens remain under his control. This raises questions about the legitimacy of his claims and the potential for further manipulation.

The cloud of suspicion hanging over DADDY is likely to deter potential investors, especially those wary of memecoins, which are already considered risky investments.

DADDY vs. MOTHER

Another reason behind Tate’s support for $DADDY is his desire to see the masculinity associated with the token prevail over Iggy Azalea’s MOTHER token. The latter has been gaining huge attention recently.

“I’m supporting a coin called $DADDY to flip it for the patriarchy,” Tate posted on Twitter shortly after initially promoting it. “We’re bringing the real men back. Make me a f*****g sandwich, females.”

MOTHER has also faced criticism in recent days. After Iggy Azalea launched Mother Iggy (MOTHER) on Solana, Ethereum founder Vitalik Buterin criticized the trend of celebrity meme coins.

Despite Buterin’s critique, MOTHER has seen significant growth. The token reached a market capitalization of over $168 million at the time of writing. Azalea fueled the rally by announcing plans to relaunch her telecommunication company. It would allow people to pay for phones and monthly plans with MOTHER or SOL.

Andrew Tate previously promoted coins like Real Nigger Tate (RNT ) and TOP G . After his endorsement, RNT soared to a market cap of $61.1 million, and TOPG reached $38.01 million. However, both coins have experienced drastic declines in the last 24 hours. RNT dropped by over 45% to a market cap of $11.7 million and TOPG fell by 35% with a capitalization of just $3.5 million.

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