JUST-IN:Popular content creator,Brain Jotter’s $Jota Coin crashes hours after launch.

The launch of $Jota Coin by popular skitmaker Chukwuebuka Amuzie, popularly known as Brain Jotter, has reportedly crashed.

There are indications of the coin crashing just hours after its September 1 debut on the TON network.

TON or The Open Network, is a blockchain platform originally developed by the messaging app Telegram.

It was designed to support decentralised applications (dApps) and services with fast transactions, high scalability, and low fees. The native cryptocurrency of the TON blockchain is called Toncoin (TON).

This failure has led to widespread accusations of “rug pulling,” where developers abruptly withdraw all funds, leaving investors with worthless tokens.

Celebrity endorsements are increasingly linked to a surge in crypto scams and rug pulls.

While these high-profile figures bring attention to their endorsed projects, they also expose unsuspecting investors to significant risks.

The recent collapse of JOTA Coin has sparked strong reactions online, with many Nigerians tagging it as yet another example of a celebrity-backed scam.

Traders, social media users react

Crypto analysts and social media users have been quick to criticise the project, mocking its rapid failure and warning others about the dangers of such ventures.

“As interest in cryptocurrency grows, investors are urged to conduct thorough research before committing funds to any project, regardless of celebrity involvement. The rise in fraudulent schemes tied to celebrity endorsements underscores the need for greater regulatory scrutiny in the crypto space,” he said.

The rise of technology has led to both genuine crypto advancements and the proliferation of Ponzi schemes masquerading as investment opportunities. While cryptocurrency is touted as a lucrative digital asset, it has also seen a disturbing increase in fraudulent schemes targeting unsuspecting investors.

Meanwhile, some of the comedian’s colleagues had earlier taken to social media to promote the coin launch.

In an August 31 X post, made by a Defi Analyst and Degen Trader, 0????????????????????????????????♕ with the username, #CryptoHome_, the one-minute seven-second video had several celebrities, influencers and even actors promoting the coin.

Celebrities influence

Skit maker Nosa Afolabi, popularly known as Lasisi, promoted Brain Jotter’s $Jota token, generating hype with a video saying, “$Jota coin September first.”

Nasiru Lawal, known as Nasboi, endorsed the $Jota token, announcing its launch with a video: “Finally launching $Jota coin, hey guys it’s official.”

In her own words, actress, Anita Asuoha popularly known as Real Warri Pikin, said, “Normal JC now jota coin, Sept first.”

Brain Jotter’s $Jota token, launched on the TON network, resulted in significant losses for investors shortly after its debut