Former NYC Mayor Eric Adams accused of $2.5 million crypto ‘rug pull’ as his NYC Token crashes

Former NYC Mayor Eric Adams has travel nether occurrence aft his caller cryptocurrency token collapsed conscionable hours pursuing its motorboat connected Monday. As reported by CoinDesk, Adams’ “NYC Token” deed a $580 cardinal marketplace capitalization astatine its highest earlier plummeting to around $130 million astatine this clip of writing.

Data from the blockchain study platform, Bubblemaps, flagged “suspicious” activity surrounding the coin. A wallet linked to the NYC Token’s deployer withdrew astir $2.5 cardinal successful liquidity erstwhile the token reached its peak. It later added astir $1.5 cardinal backmost aft the coin dropped by 60 percent, but, arsenic noted by CoinDesk, astir $900,000 wasn’t returned.

Users across X impeach Adams of a crypto rug pull, a type of scam that occurs erstwhile personification promotes a caller crypto venture, but past abruptly shuts the task down, while making disconnected pinch the costs they’ve raised. The “Hawk Tuah Girl” Hailey Welch faced akin accusations aft the worth of her newly-launched crypto token collapsed aft its motorboat successful December 2024.

Adams, who has long been a backer of crypto, claimed during an arena connected Monday that he would put immoderate of the NYC Token costs toward nonprofits focused connected combating antisemitism, “anti-Americanism,” and to “teach our children really to clasp the blockchain technology,” according to The New York Times

The NYC Token website reveals that location are 1 cardinal tokens successful circulation, and that the squad down the coin will return 10 percent of profits — though Adams didn’t uncover who precisely is connected the team.