- Bubblemaps traced suspicious wallets funded before Kanye West’s YZY launch.
- Hayden Davis allegedly netted $12 million from coordinated sniping trades.
- Community fears manipulation erodes trust and damages crypto’s wider adoption.
Blockchain investigators are raising new alarms about Hayden Davis, a figure already linked to multiple controversial token launches. On Monday, analysis firm Bubblemaps alleged that Davis made $12 million by sniping Kanye West’s YZY memecoin.
The incident comes just months after Davis was tied to the failed LIBRA project, which involved Argentina’s President Javier Milei.
Bubblemaps Traces Suspicious YZY Trades
Bubblemaps reported that a cluster of wallets was funded through centralized exchanges the day before YZY launched. Investigators said these wallets were prepared to snipe the coin and were later traced back to Davis through funding trails, CCTP transfers, and shared deposits.
The firm explained that sniping refers to bots or smart contracts that buy tokens within seconds of release and sell them for profit once hype drives up the price.
According to Bubblemaps, Davis was part of a group of 14 snipers who collectively earned $12 million from YZY trades. Some transactions were recorded less than one minute after West announced the token.
The firm also noted that the first buyer of YZY was the same trader who had earlier this year turned $1 million into $100 million by trading a Trump-themed coin.
Déjà Vu After LIBRA and Other Tokens
Davis has faced similar allegations before. In February, he admitted to sniping LIBRA tokens at launch, fueling its dramatic rise and collapse. He was also linked to the Melania Trump memecoin, which quickly lost value after release.
His company, Kelsier Ventures, has been named in several questionable projects, raising concerns about repeated manipulation.
What makes this latest case stand out is the timing. Less than a week ago, a US federal judge unfroze Davis’ assets in an ongoing LIBRA case.
Critics argue that this reprieve may have given him the liquidity to participate in the YZY trades. Simon Dedic of Moonrock Capital described the incident as “so ruthless and criminal that it’s almost fascinating.”
The allegations add to anger in the crypto community over inconsistent enforcement. Commentators have compared Davis’ treatment to harsher prosecutions, such as that of developer Roman Storm. Observers say incidents like the YZY snipe could discourage legitimate innovation and encourage further market abuse.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
