- Haliey Welch denied involvement in the HAWK memecoin and committed to full cooperation.
- Investors claim HAWK memecoin raised $2.8M during its presale but crashed 95%.
- The lawsuit accuses project partners of exploiting the U.S. market and failing to register the token.
The legal troubles surrounding the HAWK memecoin intensified as Haliey Welch, the star of Hawk Tuah, addressed the allegations of her involvement. Following a lawsuit filed against her team, Welch released a statement denying her role in the creation of the cryptocurrency and promising full cooperation to resolve the matter.
Investors File Lawsuit Over HAWK Memecoin Losses
A lawsuit was filed in the U.S. District Court for the Southern District of New York, alleging investor losses tied to the HAWK memecoin. Investors claim the project raised $2.8 million during a presale and achieved a market cap of $500 million shortly after its December 4 launch. However, the token’s value dipped by 95% within minutes, causing widespread financial harm.
The lawsuit accused the team behind the project of failing to register the token as a security and misleading investors. The primary defendants include the Cayman Island-based Tuah The Moon Foundation, overHere, and its founder Clinton So. Alexander Larson Shultz, also known as “Doc Hollywood,” was named for his alleged central role in managing token sales and fees.
Welch Denies Creation, Commits to Cooperation
Although Welch’s name was not included in the lawsuit, her association with the project prompted public scrutiny. In a statement on her X platform, Welch expressed concern for affected investors and the broader community. She confirmed her full cooperation with the legal team representing investors and emphasized her commitment to uncovering the truth and holding responsible parties accountable.
Allegations Against Project Partners
The lawsuit detailed claims against key individuals and entities tied to the project. It alleged that overHere founder Clinton So dumped 17% of the token’s supply through the Tuah Foundation after reclassifying it as an offshore entity. Early sellers reportedly offloaded 83% of the remaining supply without disclosing jurisdictional risks to buyers, exploiting the U.S. market.
OverHere responded, denying wrongdoing and placing responsibility on Shultz. The company stated it worked on the project without official contracts or compensation. Shultz, described as a 37-year-old musician and cryptocurrency advocate, was accused of ignoring transparency concerns and failing to cover trading fees.
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