Ex-NYC Mayor Eric Adams Denies Profiting from NYC Token Collapse

Source: CryptoBriefing Original Title: Ex-NYC Mayor Eric Adams denies profiting from NYC Token chaos Original Link:

Background

Former New York City Mayor Eric Adams has denied accusations of profiting from the NYC Token launch, pushing back against rug pull allegations surrounding the digital asset.

Statement and Claims

In a statement released Wednesday, spokesperson Todd Shapiro emphasized that Adams never accessed investor funds, calling the allegations “false and unsupported by any evidence.”

“Eric Adams did not move investor funds. Eric Adams did not profit from the launch of the NYC Token. No funds were removed from the NYC Token.”

According to the spokesperson, Adams’ involvement in the token was transparently disclosed and motivated by objectives to promote blockchain education, counter hate, and support nonprofit initiatives. The statement stressed that his participation was never intended for personal or financial gain.

Market Performance

The NYC Token’s market capitalization reached $220 million at launch but subsequently declined more than 80% to approximately $40 million. The spokesperson attributed these sharp fluctuations to volatility typical of newly launched digital assets.

Suspicious Activity

Blockchain analytics platforms, including Bubblemaps, identified concerning patterns where a digital wallet allegedly withdrew $2.5 million in liquidity at the peak before returning roughly $1.5 million following the crash. These activities sparked speculation about potential rug pull mechanics.

According to Bubblemaps data:

• Approximately 4,300 traders participated in the NYC token launch
• About 60% of participants ultimately lost money
• 2,300 lost less than $1,000
• 200 lost $1,000 to $10,000
• 40 lost $10,000 to $100,000
• 15 lost $100,000 or more

Insider Impact

Even participants with potential inside information were not protected from losses. One suspicious wallet purchased tokens minutes before the official announcement but still suffered a loss of nearly $500,000.