Kanye West’s YZY MEME Coin Finally Launches on Solana After Six-Month Delay Amid Insider Trading Suspicions

By: crypto insight|2025/08/21 13:10:01

Imagine a world where a rap icon like Kanye West dives into the chaotic realm of cryptocurrency, blending his larger-than-life persona with the wild energy of MEME coins. That’s exactly what unfolded when Kanye West officially rolled out his YZY token on the Solana blockchain, capping off a six-month wait that had fans and crypto enthusiasts on edge. But this launch isn’t just about hype—it’s wrapped in layers of controversy, from tight internal controls to whispers of insider profits, and even ties to a notorious team behind an Argentinian presidential coin. As we unpack this story, you’ll see how celebrity influence can rocket a token’s value, yet also spark debates about fairness in the crypto space.

The High-Stakes Launch: YZY MEME Coin Hits Solana with Star Power and Strategic Partnerships

Fast-forward to August 21st, when Kanye West took to social media to unveil YZY MONEY, his fresh brand venture, complete with the YZY MEME coin on Solana. To build trust right from the start, he shared a personal video endorsement, appearing overseas to confirm the project’s legitimacy. This move came after months of anticipation, and it didn’t disappoint in terms of market buzz.

Diving into the token’s structure, YZY’s economics allocate 20% for public distribution, 10% to fuel the liquidity pool, 30% to Yeezy Investments LLC—with a three-month lockup followed by a 24-month linear vesting—20% to the core team under a six-month lock and similar vesting, and another 20% to an ecosystem fund locked for 12 months with gradual release over two years. Picture this like a fortified castle: at least 70% of the supply stays under internal lock and key, leaving just a sliver for public trading. It’s a setup that mirrors high-control projects, designed to shield against volatility but raising eyebrows about who really benefits.

To outsmart bots and front-runners—those sneaky traders who jump in early—the team cleverly prepped 25 contract addresses, picking one at random for the real launch. Sure, it added a layer of fairness, but it wasn’t foolproof. Some eager participants still got burned, like one address that wagered $767,000 on YZY back on August 20th, only to offload at a staggering $704,000 loss within hours, as highlighted by on-chain sleuth Ai Yi. Yet, this system left plenty of wiggle room for insiders to maneuver.

YZY didn’t stop at clever tech; it quickly teamed up with Solana heavyweights like Meteora, Jupiter, and MoonPay, landing on Moonshot in under 15 minutes post-announcement. That kind of star-backed synergy exploded its popularity. According to the latest GMGN data as of today, August 21, 2025, YZY’s market cap peaked above $3.4 billion during launch frenzy but has since stabilized around $850 million amid ongoing fluctuations. Trading volume surged past $380 million in a single day, generating over 2,500 SOL in fees—proof of how Kanye’s influence can turn a token into an overnight sensation.

Uncovering the Shadows: Insider Trading Allegations and Ties to Controversial Teams in YZY MEME Coin

Beneath the excitement, though, on-chain clues paint a murkier picture. Monitoring from Lookonchain reveals the liquidity pool was seeded solely with YZY, skipping USDC, which lets developers tweak liquidity to sell off holdings—a tactic echoing the infamous LIBRA MEME coin’s rug-pull vibes. Wallets primed with funds snapped up YZY the moment it went live. Take insider address 6MNWV8: it knew the contract ahead of time, trying buys as early as the day before, then swapped 450,611 USDC for 1.29 million YZY at $0.35 each. They cashed out 1.04 million at a whopping $1.39 million profit, holding onto 249,907 YZY worth about $600,000—netting over $1.5 million in gains.

Another insider used dual wallets to grab 1.89 million YZY with 450,000 USDC at $0.24, flipping 1.59 million for 3.37 million USDC. One even shelled out 129 SOL ($24,000) in priority fees to snag the first spot. Coinbase’s Conor Grogan notes that at least 94% of YZY supply sits internally, with 87% once funneled through a single multi-sig wallet now spread out, 3% scooped by big buyers at open, and 7% in pools.

Crypto influencer Scooter, who blew the lid off LIBRA’s secrets, is almost certain Hayden Davis—a LIBRA advisor—had a hand in YZY, given the striking similarities in their models. Adding intrigue, a U.S. judge unfroze $57.6 million in LIBRA founder funds mere hours before YZY’s reveal. Scooter calls it no accident, timing the announcement five hours post-unfreeze.

To dodge legal heat, YZY’s docs include a bold class action waiver: users agree to skip group lawsuits against involved parties, with courts potentially blocking such actions and users footing legal bills. It’s like signing away rights to keep the project bulletproof.

Alongside the coin, Kanye introduced Ye Pay and YZY Card. Ye Pay acts as a crypto-friendly payment gateway, slashing fees below the usual 3.5% for merchants accepting cards or crypto, integrating smoothly into sites and apps for quick checkouts. YZY Card, a global debit option, loads with YZY, USDC, or other assets from non-custodial wallets, even letting fans buy Yeezy gear with crypto soon.

Kanye’s Flip-Flop on Crypto: From Rejection to MEME Coin Launch Sparks Motive Debates

Kanye’s crypto journey has been a rollercoaster. Back in February, amid a Trump-fueled celebrity MEME coin wave, leaks suggested he’d launch YZY modeled after TRUMP, with 70% to himself, 10% for liquidity, and 20% for investors—info supposedly from Yeezy CFO Hussein Lalani. But a rug incident with Argentinian President Milei’s token delayed it, sparking a flood of copycat YZYs.

Earlier, Kanye publicly rejected a $2 million offer to shill a RUG coin, insisting he avoids tokens to not scam fans, focusing on real products like he is “already rich.” Yet, he soon tweeted all existing YZYs were fake and he’d launch his own “next week,” following then unfollowing crypto bigwigs like CZ and Polychain’s founder. He deleted it, leaving everyone guessing—until now.

Speculation swirled his account was hacked, with odd shifts like dark-to-light mode and follows of Doginal projects, but Kanye shut it down, promising a clear announcement for any real project. This echoes his NFT dabble in 2021 with “Can U Be/Forever Mitus,” followed by a vow to stick to tangible goods over digital hype.

From outright dismissal to issuing YZY, Kanye’s shift has fueled controversy, questioning if it’s genuine passion or a calculated grab. Time will tell in this high-stakes game.

Aligning Brand Power: How YZY MEME Coin Fits Kanye’s Empire and Boosts Crypto Adoption

What makes YZY stand out isn’t just the drama—it’s how seamlessly it aligns with Kanye’s brand as a disruptor in fashion, music, and now finance. Think of it like his Yeezy sneakers: bold, exclusive, and community-driven. By tying the token to real-world perks like buying apparel with YZY or USDC, it bridges crypto hype with everyday utility, much like how his music empire empowers fans. This alignment strengthens his ecosystem, drawing in loyal followers while introducing crypto to newcomers, contrasting with fleeting MEME coins that lack substance.

For traders eyeing YZY’s potential, platforms like WEEX exchange offer a reliable gateway. Known for its secure, user-friendly interface and low-fee trading on Solana-based assets, WEEX empowers users to dive into MEME coins like YZY with confidence, backed by robust tools that enhance trading strategies and portfolio growth. It’s a smart choice for anyone navigating this volatile space, aligning perfectly with innovative projects like Kanye’s.

Latest Buzz: Twitter Discussions, Google Searches, and Fresh Updates on YZY MEME Coin

A year on from launch, YZY remains a hot topic. Google searches spike for “Is YZY coin a scam?” and “How to buy Kanye West token,” reflecting ongoing skepticism and interest. On Twitter, debates rage over insider trading, with recent posts from influencers like Scooter amplifying calls for transparency— one viral thread from August 20, 2025, claims new on-chain data shows additional insider wallets profiting millions. Kanye’s latest announcement on August 15, 2025, teased ecosystem expansions, including NFT integrations for Yeezy holders, boosting sentiment. As of today, trading volume hit $150 million in the past 24 hours, per CoinGecko, with market cap holding at $850 million despite dips, proving its resilience amid broader crypto trends.

FAQ: Addressing Your Burning Questions on Kanye West’s YZY MEME Coin

What is YZY MEME coin and how does it work?
YZY is Kanye West’s official token on Solana, blending MEME coin fun with brand perks like payments for Yeezy products. Its economics favor internal holds for stability, but public portions trade freely, with liquidity pools enabling buys and sells.

Is there evidence of insider trading in YZY’s launch?
Yes, on-chain analysis from sources like Lookonchain shows wallets buying early with apparent contract knowledge, profiting millions—similar to past controversies like LIBRA, raising fairness concerns.

How has YZY’s market performance evolved since launch?
It peaked over $3.4 billion but now sits around $850 million as of August 21, 2025, with strong trading volume reflecting sustained interest, though volatility persists due to internal controls and market sentiment.

Over the past 24 hours, the crypto market has shown strong momentum across multiple dimensions. The mainstream discussion has focused on Coinbase's official entry into the prediction market through the acquisition of The Clearing Company, as well as the intense controversy within the AAVE community regarding token incentives and governance rights.

In terms of ecosystem development, Solana has introduced the innovative Kora fee layer aimed at reducing user transaction costs; meanwhile, the Perp DEX competition has intensified, with the showdown between Hyperliquid and Lighter sparking widespread community discussion on the future of decentralized derivatives.

I. Mainstream Topics

1. Coinbase Acquires The Clearing Company, Officially Entering Prediction Market

This week, Coinbase announced the acquisition of The Clearing Company, marking another significant move to deepen its presence in this field after last week's announcement of launching a prediction market on its platform.

The Clearing Company's founder, Toni Gemayel, and the team will join Coinbase to jointly drive the development of the prediction market business.

Coinbase's Product Lead, Shan Aggarwal, stated that the growth of the prediction market is still in its early stages and predicts that 2026 will be the breakout year for this field.

The community has reacted positively to this, generally believing that Coinbase's entry will bring significant traffic and compliance advantages to the prediction market. However, this has also sparked discussions about the industry's competitive landscape.

Jai Bhavnani, Founder of Rivalry, commented that for startups, if their product model proves to be successful, industry giants like Coinbase have ample reason to replicate it.

This serves as a reminder to all entrepreneurs in the crypto space that they must build significant moats to withstand competition pressure from these giants.

2. Kalshi Launches Kalshi Research and Integrates BSC Network

Regulated prediction market platform Kalshi launched its research arm, Kalshi Research, this week, aimed at opening its internal data to the academic community and researchers to facilitate exploration of prediction market-related topics.

Its inaugural research report highlights Kalshi's outperformance in predicting inflation compared to Wall Street's traditional models. Kalshi co-founder Luana Lopes Lara commented that the power of prediction markets lies in the valuable data they generate, and it is now time to better utilize this data.

Meanwhile, Kalshi announced its support for the BNB Chain (BSC), allowing users to deposit and withdraw BNB and USDT via the BSC network.

This move is seen as a significant step for Kalshi to open its platform to a broader crypto user base, aiming to unlock access to the world's largest prediction market. Furthermore, Kalshi also revealed plans to host the first Prediction Market Summit in 2026 to further drive industry engagement and development.

3. AAVE Token Incentive Controversy Persists as Founders and Whales Increase Holdings Against the Market Trend

The AAVE community recently engaged in heated debates around an Aave Improvement Proposal (AIP) titled "AAVE Tokenomics Alignment Phase One - Ownership Governance," aiming to transfer ownership and control of the Aave brand from Aave Labs to Aave DAO.

Aave founder Stani Kulechov publicly stated his intention to vote against the proposal, believing it oversimplifies the complex legal and operational structure, potentially slowing down the development process of core products like Aave V4.

The community's reaction was polarized. Some criticized Stani for adopting a "double standard" in governance and questioned whether his team had siphoned off protocol revenue, while others supported his cautious stance, arguing that significant governance changes require more thorough discussion.

This controversy highlights the tension between the ideal of DAO governance in DeFi projects and the actual power held by core development teams.

Despite governance disputes putting pressure on the AAVE token price, on-chain data shows that Stani Kulechov himself has purchased millions of dollars' worth of AAVE in the past few hours.

Simultaneously, a whale address, 0xDDC4, which had been quiet for 6 months, once again spent 500 ETH (approximately $1.53 million) to purchase 9,629 AAVE tokens. Data indicates that this whale has accumulated nearly 40,000 AAVE over the past year but is currently in an unrealized loss position.

The founder and whale's increased holdings during market volatility were interpreted by some investors as a confidence signal in AAVE's long-term value.

4. Top Articles: DeFi Curators and Ethereum Annual Summary

In this week's top article, Morpho Labs' "Curator Explained" detailed the role of "curators" in DeFi.

The article likened curators to asset managers in traditional finance, who design, deploy, and manage on-chain vaults, providing users with a one-click diversified investment portfolio.

Unlike traditional fund managers, DeFi curators execute strategies automatically through non-custodial smart contracts, allowing users to maintain full control of their assets. The article offered a new perspective on the specialization and risk management in the DeFi space.

Another widely circulated article, "Ethereum 2025: From Experiment to Global Infrastructure," provided a comprehensive summary of Ethereum's development over the past year. The article noted that 2025 is a crucial year for Ethereum's transition from an experimental project to global financial infrastructure. Through the Pectra and Fusaka hard forks, Ethereum achieved significant reductions in account abstraction and transaction costs.

Furthermore, the SEC's clarification of Ethereum's "non-securities" nature and the launch of tokenized funds on the Ethereum mainnet by traditional financial giants like JPMorgan marked Ethereum's gaining recognition from mainstream institutions. The article suggested that whether it is the continued growth of DeFi, the thriving L2 ecosystem, or the integration with the AI field, Ethereum's vision as the "world computer" is gradually becoming a reality.

II. Mainstream Ecosystem Updates

1. Solana: Launches Kora Fee Layer and propAMM Data Research

The Solana Foundation engineering team released a fee layer solution called Kora this week.

Kora is a fee relayer and signatory node designed to provide the Solana ecosystem with a more flexible transaction fee payment method. Through Kora, users will be able to achieve gas-free transactions or choose to pay network fees using any stablecoin or SPL token. This innovation is seen as an important step in lowering the barrier of entry for new users and improving Solana network's availability.

Additionally, a deep research report on propAMM (proactive market maker) sparked community interest. The report's data analysis of propAMMs on Solana like HumidiFi indicated that Solana has achieved, or even surpassed, the level of transaction execution quality in traditional finance (TradFi) markets.

For example, on the SOL-USDC trading pair, HumidiFi is able to provide a highly competitive spread for large trades (0.4-1.6 bps), which is already better than the trading slippage of some mid-cap stocks in traditional markets.

Research suggests that propAMM is making the vision of the "Internet Capital Market" a reality, with Solana emerging as the prime venue for all of this to happen.

2. Perp DEX: Hyperliquid vs. Lighter Competition Intensifies

The competition in the perpetual contract DEX (Perp DEX) space is becoming increasingly heated.

In its latest official article, Hyperliquid has positioned its emerging competitor, Lighter, alongside centralized exchanges like Binance, referring to it as a platform utilizing a centralized sequencer. Hyperliquid emphasizes its transparency advantage of being "fully on-chain, operated by a validator network, and with no hidden state."

The community widely interprets this as Hyperliquid declaring "war" on Lighter. The technical differences between the two platforms have also become a focal point of discussion: Hyperliquid focuses on ultimate on-chain transparency, while Lighter emphasizes achieving "verifiable execution" through zero-knowledge proofs to provide users with a Central Limit Order Book (CLOB)-like trading experience.

This battle over the future direction of decentralized derivatives exchanges is expected to peak in 2026.

Meanwhile, discussions about Lighter's trading fees have surfaced. Some users have pointed out that Lighter charged as much as 81 basis points (0.81%) for a $2 million USD/JPY forex trade, far exceeding the near-zero spreads of traditional forex brokers.

Some argue that Lighter does not follow a B-book model that bets against market makers, instead anchoring its prices to the TradFi market, and the high fees may be related to the current liquidity or market maker balance incentives. Providing a more competitive spread for real-world assets (RWA) in the highly volatile crypto market is a key issue Lighter will need to address in the future.

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