Former New York City Mayor Eric Adams is accused of pulling a $2.5 million cryptocurrency rug after his NYC token crashed.

Former New York City Mayor Eric Adams has come under fire after his new cryptocurrency token crashed just hours after its launch on Monday. like I mentioned before CoinDeskAdams’ NYC Token reached $580 million in market cap at its peak before falling to About 130 million dollars At this time of writing.

Data from Blockchain analysis platform, Bubblemaps“Suspicious” activity surrounding the coin has been reported. The wallet linked to the NYC Token distributor withdrew around $2.5 million in liquidity when the token reached its peak. It later added about $1.5 million after the currency fell by 60 percent, but as he pointed out CoinDeskabout $900,000 has not been returned.

Users via X Adams accuses Pull out the crypto rugIt is a type of fraud that occurs when someone promotes a new project in the field of cryptocurrencies, but then suddenly closes the project, while running away with the funds he has raised. “Hawk Toa Girl” Hailey Welsh He faced similar charges After the value of the newly launched cryptocurrency token collapsed after its launch in December 2024.

Adams, who has He has been a long-time supporter of cryptocurrenciesHe claimed during Monday’s event that he would allocate some of the NYC Token funds toward nonprofits focused on combating anti-Semitism and “anti-Americanism” and “teaching our children how to embrace blockchain technology.” according to New York Times

NYC Token website It reveals that there are 1 billion tokens in circulation, and that the team behind the coin will receive 10 percent of the profits — although Adams did not reveal the exact identity of the team.