Popular rapper 50 Cent, real name Curtis James Jackson III, narrowly escaped a major social media hack that turned into a cryptocurrency scam. Hackers infiltrated his X account, boasting over 12.9 million followers, and promoted a fake token called “GUNIT.”
The scam, known as a “rug pull,” involves creating a new cryptocurrency with no real value and artificially inflating its price through celebrity endorsement. In this case, hackers hoped to leverage 50 Cent’s large audience to attract investors and drive up the price of GUNIT before vanishing with the invested funds.
Thankfully, 50 Cent quickly alerted his fans on Instagram, clarifying that his X account and website had been compromised and that he had “no association with this crypto.” X, formerly known as Twitter, swiftly locked down the hacked account.
However, the damage was partially done. While 50 Cent exaggerated the total amount stolen, claiming $300 million in losses, data shows a significant price spike followed by a dramatic crash – the classic rug-pull pattern. Trading data on Dex Screener reveals that multiple wallets, likely controlled by the hackers, sold off large quantities of GUNIT after its promotion on 50 Cent’s account. One wallet reportedly cashed out over $721,000.
This incident highlights the growing trend of celebrities promoting memecoins, often with questionable legitimacy. Caitlyn Jenner recently sparked similar concerns when her X account promoted a token called $JENNER, leading to confusion about her actual involvement.
The rise of celebrity-backed memecoins underscores the need for investor caution in the cryptocurrency space. While some celebrities might genuinely believe in these projects, others may be unwittingly used to promote scams. It’s crucial for investors to do their own research and avoid solely relying on celebrity endorsements before investing in any cryptocurrency.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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