Rapper Curtis James Jackson III, famously known as 50 Cent, recently revealed that his X account was hacked to promote a fraudulent meme coin.
The incident, announced to his 32.8 million Instagram followers, is part of a growing trend of cybercriminals targeting celebrity social media accounts to perpetrate crypto scams.
Hackers Exploit 50 Cent’s Fame in a Multi-Million Dollar Pump-and-Dump Scheme
On June 21, 50 Cent informed his followers that malicious actors had compromised both his X account and website. He also clarified that he had “no association with this crypto.” The hackers used these platforms to endorse a newly created token named GUNIT.
“Twitter worked quickly to lock my account back down. Whoever did this made $3 million in 30 minutes,” he wrote.
Initially, he claimed the loss was $300 million but revised it to $3 million. The scammers attracted numerous investors by leveraging 50 Cent’s significant social media influence.
They orchestrated a pump-and-dump crypto scheme. This method artificially inflated the token’s value before selling off the holdings, causing the token’s price to plummet.
The rapper’s post included images of other users in the crypto community discussing the GUNIT meme coin, with charts displaying a sharp price rise followed by a steep decline. During its peak yesterday, GUNIT reached as high as $0.008148 at 18:30 UTC. At the time of writing, GUNIT is trading at $0.0001649, with a market capitalization of $191,000.
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This incident adds to a growing list of celebrities linked to crypto scandals. Recently, former Olympian athlete Caitlyn Jenner faced similar confusion and controversy with the launch of her own token, JENNER. Although her X account was not confirmed to be hacked, mixed messages and promotions led to significant market volatility.
The recurring theme of celebrity involvement in crypto scams raises questions about the industry’s regulatory oversight. Many celebrities, including 50 Cent, have faced significant financial and reputational damage due to these incidents. Ashton Wolfe, Managing Partner at MohrWolfe, commented on the surge in celebrity-driven meme coins and the necessity for legislative action.
“The surge in celebrity-driven meme coins should prompt the US legislature to act. […] With brand names launching a meme coin, there is no better time than now for Congress to bring clarity to an already more than a decade old industry,” he told BeInCrypto.
Read more: Crypto Social Media Scams: How to Stay Safe
50 Cent’s recent hack is a stark reminder of the vulnerabilities inherent in the current crypto market. As the rapper continues to recover from this breach, it remains crucial for both the public and regulatory bodies to stay vigilant against such fraudulent activities. Enhanced security measures and clearer regulations could help prevent similar incidents.
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