American rapper Kanye West (Ye) is set to launch the YZY token, which will serve as a payment method for his Yeezy brand’s online store, according to CoinDesk sources. Reports indicate that 70% of the total token supply will remain with Ye, while 10% will be allocated for liquidity and 20% for investors.
Initially scheduled for launch on February 20, the release was pushed to February 21, according to a team member who wished to remain anonymous. Sources also revealed that the project was inspired by the TRUMP memecoin, recently launched by U.S. President Donald Trump. One of the key motivations behind YZY is to allow West to bypass platforms like Shopify, which cut ties with him following his controversial statements.
Concerns Over Token Structure
Crypto assets linked to celebrities and politicians often see a brief price surge before losing most of their value, leaving investors at a loss. The centralized distribution of YZY raises concerns about potential price volatility and a sudden crash. According to the project’s press release, Ye’s 70% allocation is structured through a multi-step vesting schedule, with a portion of the tokens locked for up to 12 months. Critics argue that such insider-heavy allocations primarily benefit founders rather than retail investors.
Avoiding the LIBRA Controversy
The launch of YZY has reportedly been delayed multiple times to avoid associations with the controversial LIBRA memecoin, which was indirectly linked to Argentine President Javier Milei. LIBRA, launched on Solana on February 14, triggered significant losses for investors. Data from Lookonchain showed that some traders suffered major losses twice, while analytics firm Nansen reported total losses of $251 million.
