Former New York City Mayor Eric Adams’ Cryptocurrency Token Draws Controversy After $1M Allegedly Goes Missing In A Day – AfroTech
There are mixed reactions to former New York City Mayor Eric Adams’ cryptocurrency token.
Adams has been in favor of cryptocurrency, even opting to receive his first three paychecks as New York City mayor in cryptocurrency, according to information on the token’s website. This action was intended to signal that New York was poised to lead the “blockchain revolution.”
Now, Adams has announced plans for the “NYC Token.” Fortune reports that he had intended to use cryptocurrency with the overarching goal of combating violence, educating children, and to address antisemitism. He unveiled the NYC Token, a cryptocurrency designed to support funding for the aforementioned areas, on Monday, Jan. 12, during a press conference.
“We want to make sure everyday New Yorkers can invest and create an atmosphere they want to see in their city,” Adams said at the time, according to the outlet.
However, it was unclear how the cryptocurrency would carry out those goals. Adams did not provide details on partnerships, a release timeline, or how the funds would be used. At the press conference, he directed people looking for more details about the token to the website.
The website describes the token, which is built on the Solana blockchain, as a “next-generation cryptocurrency inspired by the relentless energy and innovation of New York City. Built on cutting-edge blockchain technology.”
“We’re creating a decentralized financial ecosystem that’s as ambitious as the city itself,” a statement on the website reads.
When it launched hours after the press conference on Jan. 12, the token reportedly reached a $600 million market capitalization before it soon crashed. The New York Times reports that this occurred when $2.5 million in earlyproceeds was quickly withdrawn. An amount of $1.5 million was returned the following day, but it was still estimated that the developer had gained $1 million, according to Bubblemaps Founder and CEO Nicolas Vaiman.
Why the money was pulled is unknown, but according to The New York Times, Todd Shapiro, a longtime friend of Adams who is arranging news coverage, shared a statement from NYC Token. It said the group’s “market maker made adjustments in an attempt to keep trading running smoothly, and as part of this process, moved liquidity.” The group also emphasized it “has not withdrawn any money from the account.”
Still, it is unclear if or what Adams profited, Fortune notes.
“I truly have no explanation on why they did it,” Vaiman expressed, according to Fortune. “Is this as simple as just pure grift? Maybe I’m overoptimistic, and I don’t want to believe that’s the case, but maybe this is what it is.”
Furthermore, the NYC Token appears to have been a surprise to Eddie Cullen, a former NYC mayoral candidate and founder of the crypto company Crescite, per Fortune. Cullen claims he discussed plans for an NYC token with Adams’ team in June 2025, and he was not informed of the recent launch.
Fortune also reports that Cullen intends to send a cease-and-desist letter and vows to hold Adams accountable.
