Memecoin Plummets 99% After CZ Disowns It

• Lyla Velez
• October 29, 2025
• Market
• 0 Comments

Memecoin associated with Binance founder Changpeng Zhao plummets 99% after CZ disowns it, causing market turbulence.

The 99% crash of the memecoin tied to CZ’s statue underscores the potential volatility in the cryptocurrency market, particularly for speculative assets.

Details

The memecoin linked to Changpeng Zhao, founder of Binance, saw a dramatic decline following his apparent disownment. CZ’s dismissal of the project hinted at disapproval of the speculative nature of such assets. The initial sponsor funding, totaling $50,000 by anonymous donors, was intended for a CZ statue, inspiring the coin’s creation. This event mirrors previous memecoin surges, illustrating the impact of influential endorsements on market prices.

The memecoin frenzy is weird,” said CZ in a critique of speculative market trends, emphasizing the importance of genuine blockchain applications.

Changpeng Zhao’s influence in the crypto space is notable, with his statements affecting market sentiment. Though not commenting directly on this memecoin, his past critique of the memecoin frenzy suggests skepticism. The coin was created by anonymous donors, who may seek profit from the venture. The memecoin’s plummet resonates with prior events where similar endorsements led to significant valuation changes.

The immediate fallout primarily affected the economic value of the memecoin, while broader market sentiments around such assets saw little disturbance. The crash highlights the risk involved with coins that lack substantive backing. Other cryptocurrencies, like Ethereum and Bitcoin, remained untouched by this specific volatility. The event raised concerns over speculative projects within the community, with some viewing the memecoin sector as entertainment and others as risky.

CZ’s outspoken views on memecoins, describing them as “weird”, draw attention to the need for real blockchain applications. This incident might influence future investor attitudes towards highly speculative digital assets. The event reinforced the risks associated with speculative investment in the cryptocurrency sector and the unpredictable nature of the memecoin market.