Andrew Tate’s recent project with the Daddy Tate (DADDY) meme coin has garnered a lot of attention. Recently, Tate made a high-profile move by burning over 400 million DADDY coins.
The move ostensibly reduced supply and sparked widespread backlash within the cryptocurrency community.
Andrew Tate Burns $114 Million Worth of DADDY Meme Coin
Despite the dramatic gesture, which Tate described during the live stream as “legendary” and a world-changing event, the actual market ramifications are a bit different. The value of the burned coins was approximately $114 million, but this figure is primarily on paper.
DADDY’s market liquidity is only $2.5 million. Thus, if Tate had attempted to sell these meme coins rather than burn them, the resulting rug pull would have significantly reduced their value.
It is worth noting that Tate hinted in a post on X (Twitter) that he envisions DADDY reaching a market capitalization of $1 billion. Currently, the market cap is about $165 million, according to DEX Screener data. This bold claim contrasts sharply with recent insider activity, setting the stage for volatile market movements.
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According to Lookonchain, a prominent on-chain analytics platform, an insider transaction involved the sale of 15.14 million DADDY meme coins for approximately $1.74 million, executed on Solana (SOL). This insider initially made $29.8 million from DADDY for just $1,950, leveraging three different wallets.
“He currently has 14.7 million doors, worth $2.8 million. His total earnings are $5.6 million, a 2,875-fold increase,” Lookonchain said.
Furthermore, Bubblemaps, another blockchain data analysis company, highlighted the situation by revealing suspicious trading patterns around the time of DADDY’s launch. Prior to Tate’s promotional activities, insiders reportedly received 30% of DADDY’s total supply.
These wallets, funded through Binance, cannot be conclusively linked, but their synchronized activities indicate coordinated action. The implications of such maneuvers are significant, as selling by any of these portfolios could significantly impact DADDY’s liquidity and overall market stability.
Read more: Cryptocurrency Scam Projects: How to Spot Fake Tokens
Andrew Tate, no stranger to controversy in the cryptocurrency ecosystem, has also been linked to meme currencies like Real Nigger Tate (RNT) and TOPG.
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