Kanye West’s cryptocurrency project, $YZY, experienced a dramatic 70% decline in value within the first day of trading on Solana. This steep plunge has been attributed to centralized control by insiders who own almost 94% of the tokens. Experts warn that this concentrated control poses significant risks for retail investors and highlights potential issues with insider manipulation in celebrity-backed cryptocurrency launches. The token, launched with high expectations, reached a market cap exceeding $3 billion before its steep decline. The crash has led to losses potentially reaching over $1.8 million for thousands of retail investors. Coinbase’s Conor Grogan emphasized the issue of centralized control, pointing out that 87% of the tokens were held in a single multisig address. This concentration, combined with lack of transparency and regulatory oversight, has fueled concerns about pump-and-dump schemes and potential manipulation. These issues are reminiscent of previous celebrity-backed crypto ventures where speculation and a lack of clear regulations have led to significant losses for many investors. The future of token launches needs greater scrutiny, especially with regards to transparency and decentralized control mechanisms. This situation calls for potential regulatory changes and technological solutions aimed at preventing similar incidents in the future.