Former NYC Mayor Eric Adams’ Token Crashes 80% Amid $2.4M ‘Rug Pull’ Allegations
The “Bitcoin Mayor” faces scrutiny after a deployer wallet drained $2.43 million in liquidity minutes after the token’s valuation hit $730 million.
Former New York City Mayor Eric Adams’ return to the public eye turned chaotic Monday as his newly launched cryptocurrency, NYC Token ($NYC), collapsed 80% in minutes. The crash followed a suspicious liquidity removal of nearly $2.5 million by a wallet linked to the project’s deployer, sparking widespread allegations of a rug pull.
The Liquidity Drain
Launched on Solana with a stated mission to fight antisemitism and "anti-Americanism," $NYC surged to a valuation of $730 million shortly after its debut. The rally was cut short when on-chain analysts detected a massive liquidity withdrawal.
According to data from Bubblemaps and on-chain sleuth Rune, a wallet connected to the token’s deployer removed $2.43 million in USDC from the liquidity pool at the market’s peak. The maneuver instantly drained the order book, sending the token’s price plummeting from $0.47 to roughly $0.10.
"Eric Adams, former NYC mayor, has just removed liquidity of his new memecoin… scamming investors for over $2.5 million," noted crypto analyst Rune in a widely circulated breakdown.
The ‘Rebalancing’ Defense
Following the crash, the deployer wallet returned approximately $1.5 million to the pool, leaving nearly $1 million unaccounted for. The project’s official account attempted to quell the backlash, framing the extraction as a necessary technical adjustment.
"Given the overwhelming support and demand for the token at launch, our partners had to rebalance the liquidity," the NYC Token team posted, claiming the move was standard procedure. Market participants remained skeptical, with traders pointing out that legitimate market making rarely involves removing 60% of a pool’s liquidity during a price discovery phase.
Institutional Context
The debacle marks a turbulent start for Adams’ post-mayoral career. Known as the "Bitcoin Mayor" for taking his first three paychecks in crypto, Adams left office on January 1, 2026, amid corruption indictments. This launch follows a growing trend of political figures launching "celebrity coins" on Solana to capitalize on retail speculation.
While the token has recovered slightly to a $110 million valuation, the incident has attracted scrutiny from security researchers. Analyst StarPlatinum warned the token remains "extremely centralized," with the top 10 holders controlling over 98% of the supply, a structure that leaves retail buyers vulnerable to further sell-offs.
