Blockchain analytics platform Bubblemaps has accusations made of significant insider trading in the memecoin projects recently promoted by Andrew Tate and Iggy Azalea.
Despite evidence that wallets purchased significant amounts of tokens during and before their respective launches, there is no evidence linking them to Tate or Azalea.
The allegations, shared via tweet threads, have attracted significant attention within the crypto community. Some have denounced the alleged insider trading, while others have said there is no such thing as a fair launch of memecoins and that such occurrences are normal.
Andrew Tate and $DADDY coin
However, Bubblemaps claimed in a June 12 thread that insiders bought 30% of the $DADDY coin supply at launch, amassing more than $45 million across 21 wallets.
On June 9, a transaction transferred 40% of $DADDY’s supply to Tate’s wallet before he began promoting the coin on social media. Tate publicly stated that he would not be selling tokens and continues to hold them.
However, on-chain data shows that several wallets bought around 20% of the supply before the project was announced. According to Bubblemaps:
Bubblemaps wrote:
“11 wallets, funded through Binance in nearly identical amounts at the same time, bought 20% of $DADDY on June 9, before @DaddyTateCTO’s first tweet.”
These portfolios now hold approximately 19% of the total supply, worth $30 million. The company added that any significant sales from these wallets could impact the coin’s liquidity.
The company also claimed that the wallets were connected and possibly belonged to “the same group.” Bubblemaps wrote:
“Since then [the wallets] are funded through Binance, we cannot 100% confirm that they belong to the same group. However, the timing and amounts strongly suggest that this is the case.”
In addition, two other clusters, connected via a specific wallet, purchased 10% of the supply before Tate’s promotional activities. These clusters currently contain tokens worth $16 million.
Bubblemaps said Tate has not sold his tokens, but the 40% of the total supply he owns – valued at $64 million – remains unburned and could impact the market if sold.
It is important to note that while these wallets show suspicious activity, there is no concrete evidence linking the addresses directly to Tate or its associates. These findings remain allegations based on transaction patterns.
Tate has responded to the allegations on social media and reaffirmed that he has no intention of selling the tokens sent to him. He further stated that he would only burn the tokens, to write:
“I will never sell what has been sent to my wallet, I will only burn and buy. Forever. Diamond hands.”
Iggy Azalea and $MOTHER coin
Bubble maps also lallegations denied of insider trading in the $MOTHER coin in late May, which was promoted by rapper and model Iggy Azalea.
According to the company, insiders reportedly bought 20% of $MOTHER’s supply at launch and have since sold $2 million worth of tokens.
The research identified a key portfolio, which purchased 109 trillion $MOTHER tokens before splitting it across seven wallets. Most of these tokens were sold, generating a profit of $1.4 million. The remaining tokens are valued at around $400,000 at the time of writing.
Additionally, the wallet transferred funds to other profitable wallets, which collectively made about $800,000 by selling about 8% of the token’s supply.
As with the $DADDY coin box, there is no concrete evidence linking these addresses directly to Azalea or its associates. These findings are accusations against wallets of unknown entities based on the observed transaction patterns.