Haliey Welch – better known as the “Hawk Tuah Girl” after her viral moment earlier this year – is facing intense backlash after the cryptocurrency she launched, HAWK, reportedly wiped out millions of dollars in value within minutes.

And it looks like she could potentially find herself in some legal trouble…

Haliey Welch launched her crypto coin earlier this week. Credit: Michael Tullberg / Getty

Welch, who gained internet fame with her candid response to the question “What makes a guy go crazy in bed?”, introduced her cryptocurrency on December 4.

According to her manager, Jonnie Forster, the crypto coin was an attempt to “tokenize, in a sense, Haliey’s fan base”.

The launch initially seemed like a massive success, with the HAWK coin reaching a staggering market capitalization of nearly $500 million, as reported by Forbes. But just 20 minutes later, the coin’s value nosedived, dropping from $490 million to a mere $41 million.

The sharp downturn has sparked accusations from fans and the crypto community, with some suggesting the collapse may have been caused by “crypto snipers” — traders who rapidly buy and sell new tokens to exploit volatility.

Some people who invested took to social media to complain after prices plummeted. Credit: Michael Tullberg/Getty

Speculation about insider trading has intensified following data from cryptocurrency analytics platforms.

Reports from Dexscreener and Coinspeaker revealed that insider wallets and snipers controlled 80-90% of $HAWK’s initial supply.

One wallet reportedly acquired 17.5% of the token’s supply mere seconds after launch and sold it off within 90 minutes, netting a $1.3 million profit, according to Solscanner.

The crash left countless fans fuming, with some alleging they lost their life savings. One devastated investor took to social media to call out Welch, writing, “I am a huge fan of Hawk Tuah but you took my life savings. I purchased your coin $HAWK that you were so excited about with my life savings and children’s college education fund as well.”

Welch has since defended the launch, sharing a post on X (formerly Twitter) that stated: “Hawkanomics: Team hasn’t sold one token and not 1 KOL was given 1 free token. We tried to stop snipers as best we could through high fee’s in the start of launch on @MeteoraAG. Fee’s [sic] have now been dropped.”

Despite Welch’s attempts to calm the storm, critics are accusing her of a “rug pull,” a term used when creators of cryptocurrencies sell off their holdings, triggering a crash in value.

People are accusing Welch of stealing their money. Credit: Michael Tullberg/Getty

“I am a huge fan of Hawk Tuah but you took my life savings,” one person said on X.

They continued: “I purchased your coin $Hawk that you were so excited about with my life savings and children’s college education fund as well.

“You didn’t mention that you were going to buy 97% of the supply and sell it almost immediately to make a large profit.”

Some people have even claimed that Welch should face serious consequences.

“Haliey Welch you’re going to f***ing jail,” one person wrote.

Another echoed this, writing: “Hailey I’m not even kidding when I say this, you are most likely going to prison.”

Now, law firms in the U.S. are stepping in to represent frustrated investors.

New York-based Burwick Law is actively encouraging affected individuals to reach out. “If you lost money on $HAWK, contact our firm to learn about your legal rights,” the firm tweeted. “We’re here to help bring accountability to a space that desperately needs it.”

Burwick Law has also slammed the phenomenon of celebrity-backed crypto projects that leave everyday investors broke while stars walk away unscathed.

“While everyday people take losses, celebrities walk away richer,” the firm added in a statement. “We’re here to help bring accountability to a space that desperately needs it.”

Burwick Law specializes in helping with celebrity-backed crypto coins. Credit: X

Before the fallout, Welch told Fortune that the project was “not just a cash grab” and said she was committed to using cryptocurrency as a way to connect with fans.

As of this writing, Burwick Law’s tweet has received interest from several X users who claim to have lost out on the venture.

Of course, as many people are pointing out in the replies, there may be nothing anybody can do, as this is the risky nature of investing in cryptocurrencies.

But with the potential of a lawsuit – or lawsuits – looming, it’s clear many of those fans feel burned.