Memecoin HAWK Faces Legal Trouble as Investors File Suit Against Haliey Welch’s Team – ‘Hawk Tuah Girl’ Haliey Welch responds for first time in weeks following the lawsuit

Quick Take

• The memecoin HAWK, launched by Haliey Welch’s team on Dec. 4, experienced a meteoric rise and subsequent crash in market capitalization.
• On Dec. 19, twelve investors filed a lawsuit against Welch’s team, alleging that the HAWK token launch violated federal securities laws.

Haliey Welch, the 22-year-old internet personality known as “Hawk Tuah Girl,” broke her silence on social media platform X (formerly Twitter) for the first time in nearly two weeks. Welch’s post came in response to a lawsuit accusing her team of launching the memecoin HAWK in violation of federal securities regulations.

Welch addressed her followers, investors, and the broader crypto community in a Friday X post, stating, “I take this situation extremely seriously and want to address my fans, the investors who have been affected, and the broader community. I am fully cooperating with and am committed to assisting the legal team representing the individuals impacted, as well as to help uncover the truth, hold the responsible parties accountable, and resolve this matter.”

She also urged individuals who suffered financial losses to contact Burwick Law, a New York-based legal firm specializing in digital asset litigation, for further assistance.

The HAWK Launch and Collapse

On Dec. 4, Welch’s team, in collaboration with the web3 launchpad platform OverHere Limited, introduced the HAWK cryptocurrency. The token was tied to Welch’s internet meme persona, “Hawk Tuah,” and quickly gained traction, pushing its market capitalization to approximately $400 million. However, the hype was short-lived, as HAWK’s market cap plummeted by 90% shortly after its peak.

Legal Action

On Dec. 19, twelve investors filed a lawsuit against Welch’s team and OverHere Limited. The complaint alleges that HAWK functioned as an unregistered security, leading to over $151,000 in losses for the plaintiffs. The investors are seeking a jury trial to resolve the matter, as previously reported by The Block.

This developing legal battle highlights the ongoing scrutiny surrounding cryptocurrency projects and their compliance with securities laws. BlockBeep.com will continue to follow this story closely and provide updates as they emerge.