### Jason Derulo Faces Backlash Over Meme Coin Promotion Amid Rug Pull Allegations
**By Hassan Shittu**
**Last updated: June 24, 2024, 15:16 EDT | 1 min read**
Pop icon Jason Derulo is under fire after endorsing a meme coin named JASON, which saw a dramatic drop in value shortly after its launch. Known primarily for his musical talent, Derulo’s foray into the unpredictable world of meme coins has ignited a broader conversation about the ethical and financial risks tied to celebrity endorsements in the cryptocurrency market.
The incident has heightened awareness about the dangers and ethical dilemmas of celebrities promoting financial products, often leading to substantial financial losses for investors and damage to the reputations of the endorsers.
### Sahil Arora Gets the Blame, But Derulo Is Caught in the Crossfire
Derulo recently announced the launch of the JASON meme coin to his 3.5 million followers on X. Unfortunately, the coin’s value plummeted by more than 72% within minutes, causing significant frustration among investors and fans.
In response to the backlash, Derulo pointed fingers at Sahil Arora, a figure previously entangled in cryptocurrency controversies. Attempting to address the situation, Derulo tweeted and later issued an apology video, vowing to make the coin’s recovery his “life’s goal.”
Despite his efforts, skepticism remains regarding Derulo’s involvement with the JASON meme coin. Influential crypto personalities, such as SlumDOGE Millionaire and on-chain investigator ZachXBT, have questioned Derulo’s narrative.
SlumDOGE Millionaire criticized Derulo, highlighting the meme coin’s dangerously low liquidity, approximately $211,000, and its modest number of holders, around 3,190. This scenario mirrors other notorious crypto scams where initial hype results in significant financial losses for everyday investors.
The crypto community has largely responded with criticism. ZachXBT, known for uncovering crypto scams, commented on Derulo’s apology video, stating,
ZachXBT also pointed out, “Projects will throw them high 5 fig – low 6 fig for Ongoing Celebrity Meme Coin Promotions.”
This episode with Derulo is not an isolated case. The accused developer, Sahil Arora, has been linked to multiple celebrity-endorsed meme coin scams.
Sahil Arora, the alleged fraudster, has reportedly been banned from X (formerly Twitter). Arora’s handle, “@Habibi_Comm,” was suspended after news of his involvement in pump-and-dump and rug-pull schemes with celebrity crypto tokens broke out.
Both Caitlyn Jenner and Rich The Kid, who were also associated with Arora, have publicly condemned him. Jenner has even announced her intentions to pursue legal action against him, both criminally and civilly.
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