TLDR

SEC drops charges against Hailey Welch (“Hawk Tuah Girl”) after investigation into $HAWK token collapse
The meme coin’s market cap surged to $490 million before crashing 90-95% within hours/minutes
Investors filed a class-action lawsuit against the creators (not Welch) alleging unlawful promotion
Welch’s attorney confirmed no monetary sanctions or restrictions on her future involvement in crypto
Welch has parted ways with the LLC behind the coin and won’t be promoting it going forward

The Securities and Exchange Commission (SEC) has closed its investigation into Hailey Welch, known as the “Hawk Tuah Girl,” without pressing charges or imposing sanctions related to the $HAWK token collapse.

Welch, who became an internet sensation in mid-2024 after a viral street interview about bedroom techniques, had been under investigation following the dramatic rise and fall of the meme cryptocurrency associated with her persona.

Welch expressed relief after the SEC’s decision.

“For the past few months, I’ve been cooperating with all the authorities and attorneys, and finally, that work is complete,” she told TMZ in a recent statement.

The $HAWK token, launched on the Solana blockchain, saw a meteoric rise shortly after its release. The cryptocurrency’s market capitalization quickly surged to approximately $490 million at its peak.

However, the token’s value plummeted just as rapidly as it had risen. Within minutes of reaching its peak, $HAWK crashed by over 90%, reducing its market cap to around $60 million and leaving many investors with massive losses.

The dramatic collapse prompted investors to file a class-action lawsuit against those behind the project. The lawsuit targets OverHere Ltd (the company behind $HAWK), its founder Clinton So, an influencer named Alex Larson Schultz (known as “Doc Hollywood”), and the “Tuah the Moon Foundation.”

It’s worth noting that Welch herself was not named as a defendant in the civil lawsuit. The legal action alleges the unlawful promotion and sale of the token without proper registration.

James Sallah, Welch’s attorney, confirmed the positive outcome of the SEC investigation. “The SEC closed the investigation without making any findings against, or seeking any monetary sanctions from, Hailey,” Sallah stated.

The attorney further clarified that because no action was brought against Welch, there are no restrictions on her future involvement in cryptocurrency or securities. When contacted by media outlets, the SEC declined to comment on the investigation.

Celeb Meme Coins

The $HAWK token was among several celebrity-linked meme coins launched in 2024. Other public figures who released similar cryptocurrencies included Caitlyn Jenner, Jason Derulo, and Cardi B.

Meme coins typically trade based on marketing and hype rather than underlying utility or technology. The SEC advised last month that it doesn’t generally view meme coins as securities, suggesting they may not fall under its regulatory authority.

Following news of the closed investigation, the price of HAWK reportedly jumped by 25% on the decentralized exchange Meteora. Recent data shows the meme coin has a market cap of approximately $4 million with $333,000 in trading volume over a 24-hour period.

Despite this recent uptick, sources close to Welch indicate she has parted ways with the LLC behind the coin. She reportedly won’t be supporting or promoting $HAWK going forward.

In a now-deleted interview, Welch previously expressed regret over her crypto endeavors. She admitted her knowledge of cryptocurrency was limited and that she didn’t fully understand what she was getting involved with.

Welch appears to be moving on to other projects. There’s reportedly a “Hawk Tuah” documentary in development, and she continues to work on her “Talk Tuah” podcast.

For investors who were affected by the $HAWK collapse, Welch had previously provided a link to contact Burwick Law, one of the firms representing plaintiffs in the ongoing civil lawsuit against the token’s creators.

The Tennessee native, who shot to viral fame after her candid street interview garnered millions of views on YouTube, seems ready to put this chapter behind her. Sources told TMZ that she’s “totally done” with the meme coin business.

The post SEC Clears “Hawk Tuah Girl” Hailey Welch in $HAWK Token Investigation appeared first on CoinCentral.

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Filed under: News - @ March 28, 2025 10:26 pm