New York City Former Mayor’s Coin Launch Accused of Rug Pull, Team Previously Pulled Out Liquidity at All-Time High

BlockBeats News, January 14th, former New York City Mayor Eric Adams faced widespread scrutiny due to the sharp decline of his newly launched cryptocurrency NYC Token within hours of going live. Data shows that the NYC Token's market cap briefly surged to around $580 million before swiftly dropping to around $130 million.

Blockchain analytics platform Bubblemaps pointed out that the token exhibited "suspicious behavior": wallets associated with the project deployer withdrew around $2.5 million in liquidity at the price peak. After a roughly 60% price drop, although the address injected around $1.5 million back, approximately $900,000 remained unrecovered.

A large number of users on the social platform X accused Adams of involvement in a "rug pull," which entails pulling funds after promoting a project for profit. Adams has been a long-time advocate of cryptocurrency and mentioned during an event on Monday that some of the NYC Token funds would be used for anti-anti-Semitism, anti-"anti-America" projects, and promoting youth understanding of blockchain technology.

The NYC Token's official website states a total token supply of 1 billion, with the project team receiving a 10% revenue share, but Adams did not disclose specific team members. Currently, there is no official investigation conclusion regarding the allegations.