Hawk Tuah Girl Team Sued Over Her Memecoin Venture

In one of the most bizarre cryptocurrency stories to grace us in recent months, Hawk Tuah girl team is being sued over her memecoin venture.

Haliey Welch's foray into the world of memecoins has taken an unexpected turn, with her team being hit with a lawsuit over the venture.

The legal action stems from the launch of $HAWK, a Solana-based memecoin that was promoted by Welch and her team.

According to a document filed to court on Wednesday, the lawsuit 'arises from the unlawful promotion and sale of the Hawk Tuah cryptocurrency memecoin, known as the "$HAWK" token (the "Token" or "$HAWK"), which Defendants offered and sold to the public without proper registration'.

Among those named in the lawsuit are Tuah The Moon Foundation, which oversaw the memecoin's finances, OverHere Ltd, which created the coin, and Clinton So, an executive at OverHere.

The lawsuit also names Alex Larson Schultz, the coin's promoter, as a defendant.

However, Welch herself was not named in the complaint, which alleges that the defendants used her social media following to market the coin to 'emphasize community engagement, inclusivity, and bridge mainstream culture with the cryptocurrency world'.

The lawsuit comes after Welch's team faced accusations of a 'rug pull' - a term used to describe a scenario where cryptocurrency developers quickly sell their tokens and leave investors with worthless coins.

Welch's team has denied these accusations, with the Solana Girl herself taking to Twitter to address the controversy.

"Hawkanomics: Team hasn’t sold one token and not 1 KOL was given 1 free token," she tweeted in a copy and pasted message.

"We tried to stop snipers as best we could through high fee’s in the start of launch on @MeteoraAG. Fee’s have now been dropped."

But readers added their own context to the tweet claiming her team had sold.

It read: "The 'team' and insiders have actually been selling their token since launch.

"A majority have never purchased anything and have only sold the tokens they were given.

"Haliey is lying and will likely have to 'talk tuah' judge about this."

Following the launch of $HAWK, its value reportedly plummeted from as much as $490 million to just $41 million. Some news outlets reckoned it lost more than 95 percent of its value.

After the dust settled, OverHere - the official platform for Welch's $HAWK token - issued a statement about the matter.

The team revealed the so-called 'truth' about what happened.

On the memecoin, they said: "Hailey Welch—a literal meme—launching a meme coin felt like synchronicity.

"Our goal was simple: bring Web2 fans into Web3 seamlessly. A way to bring Web2 into crypto through culture, not just speculation."

As to how things unravelled, overHere says that 'community sentiment shifted'.

"As desperation kicked in, participation conditions were progressively watered down," the team said.

"What started with plans for a lock-up eventually ended with none."

It went on to place blame on an individual who goes by Doc Hollywood, who apparently 'controlled all token decisions, fees, treasury'.

Then, overHere further insisted that it made zero revenue from the whole debacle and that Doc Hollywood allegedly charged 15 percent trading fees.

These allegations were denied by Alexander Larson Shultz, the team member nicknamed 'Doc Hollywood', as reported by IBT.