Former NYC Mayor’s Memecoin Bleeds $500M in 30 Minutes – On-Chain Proof Reveals Brazen Rug Pull

A former New York mayor’s memecoin crashed 81% at launch, with on-chain data revealing a calculated liquidity drain that wiped out $500 million in investor value—all while Adams publicly framed the project as a tool to combat antisemitism.

The NYC memecoin, launched by former New York mayor Eric Adams, crashed 81% within 30 minutes of its Jan. 12, 2026, debut on Solana, erasing ~$500 million in peak paper value.

On-chain analysis revealed a liquidity pool drain: $2.43M–$3.4M in USDC was removed by a deployer-linked wallet during the token’s peak, leaving a $932,000 discrepancy unaccounted for after a “round trip” transaction. Supply concentration was extreme: the top five wallets held ~92% of the token supply, with one wallet controlling ~70%.

Retail investor losses were documented, including a trader who lost $473,548 in under 20 minutes via rapid buying and selling.

The SEC’s 2025 staff statement exempted many memecoins from securities law, citing purchases for “entertainment, social interaction, and cultural purposes,” while states like New York have proposed criminalizing rug pulls.

Adams’ prior crypto ties include converting his 2022 mayor paycheck to Bitcoin and promoting crypto initiatives during his tenure.

Look, the on-chain evidence here isn’t just a technicality—it’s a blueprint for how institutionalized fraud can weaponize crypto’s regulatory ambiguity.

When 92% of a token’s supply is controlled by five wallets, the market isn’t being tested; it’s being engineered. This isn’t a “market correction” but a premeditated redistribution of capital.

⚠️ LEGAL DISCLAIMER: This article is for informational purposes only and does not constitute financial or investment advice.