A recent trend in the cryptocurrency market has raised concerns about celebrities launching their own tokens and profiting at the expense of unsuspecting traders. The cases of JENNER and DAVIDO tokens serve as cautionary tales for those considering investing in celebrity-backed cryptocurrencies.

The Jenner Token Fiasco

Caitlyn Jenner, a former Olympic athlete and reality TV star, has been found to have earned a substantial profit by launching 12 meme coins on the Solana blockchain. According to blockchain analysis firm Lookonchain, Jenner created multiple new addresses and used them to buy the tokens she had launched, only to sell them off for a significant profit. One of her tokens, named $JENNER, was particularly profitable. Jenner spent just $221 to purchase 44.56 million $JENNER tokens and then sold them all for 253 SOL, netting a profit of $43,000.

Davido's Debut

Renowned Nigerian musician Davido, with over 30 million Instagram followers, followed a similar path with his $DAVIDO token. According to Lookonchain, Davido received $1,275 as start-up capital and used it to create the $DAVIDO token and purchase 203 million tokens for $1,190. Within just 11 hours, Davido had sold 121.88 million $DAVIDO tokens, raking in a profit of $473,000. He still holds 61.12 million $DAVIDO tokens, representing an unrealized profit of around $207,000.

Trader Losses and Warnings

Lookonchain's data also revealed that many traders lost substantial sums by trading the $JENNER token. One trader, who had previously made $3.7 million profit in just five days trading the $BOME token, lost $133,400 in a single day by buying and selling $JENNER. Crypto analysts and industry experts have warned traders about the risks associated with celebrity-backed tokens, which often lack real-world utility and are primarily driven by hype and speculation.

New Meme Coin to Watch

Milei Moneda is a new meme coin inspired by the political and economic views of Javier Milei, an Argentine president known for his libertarian and pro-Bitcoin stance. This new meme coin aims to be the next $BONK, $WIF, or $MEW, offering an opportunity to get in early at a low presale price.