Influencer Haliey Welch, popularly known as the “Hawk Tuah Girl,” announced on Friday that she is fully cooperating with attorneys representing investors affected by the recent cryptocurrency crash involving the meme coin $HAWK. Launched just weeks ago, this coin quickly faced scrutiny as its price collapsed, with Welch being accused of scamming investors.
This drop in value occurred shortly after the coin’s launch on December 4, when its market capitalization soared to $491 million before plummeting by over 90% to below $100 million. This volatility has raised alarm among investors, particularly new ones enticed by Welch’s involvement in the project.
A lawsuit has been filed in the United States District Court for the Eastern District of New York against the coin’s creators, alleging that they unlawfully promoted and sold the cryptocurrency without proper registration with the SEC. Although Welch is not named as a defendant in the lawsuit, she addressed the situation directly through her social media, urging those affected to reach out to Burwick PLLC, the law firm involved in the case.
Welch expressed her commitment to assist the legal team and help uncover the truth behind the incident. Since her rise to fame, which began with a viral interview in June, Welch has expanded her brand significantly, launching merchandise, a podcast titled “Talk Tuah,” and an AI dating assistant app.
The case underscores a recurring issue within the cryptocurrency market, particularly among meme coins, which ride on the waves of social media hype but often leave investors vulnerable to sudden drops in value. It also highlights the responsibilities that influencer-driven promotions carry, stressing the need for transparency and accountability.
This situation could serve as a turning point for both Welch and others in the influencer space, prompting a broader conversation about ethical practices in promoting cryptocurrencies. As the legal proceedings unfold, there is a hopeful outlook for better consumer protection measures and regulatory clarity in the fast-evolving world of digital currencies. Investors and influencers alike may learn from this incident, fostering more responsible engagements in the future.