The Daddy Tate memecoin (DADDY) shed almost $4 million in market cap in just five days after Andrew Tate was hit with a new wave of criminal charges. According to CoinGecko data, the token's market cap dropped from $8,819,958 on July 18 to roughly $4,874,374 on July 23, a decline of $3,945,584, or about 45%.

Price action told an even grimmer story. DADDY opened July 16 at $0.01538 and by the time of writing had fallen to around $0.00806, down over 47% in seven days. From its all-time high of $0.29, recorded on June 14, 2024, the token has now lost more than 97% of its value. A brief recovery earlier in July pushed the price to roughly $0.03745 before another round of selling dragged it back down.

Tate sold tokens despite promising otherwise

On-chain analysis by pseudonymous researcher MASTR revealed that Tate, who received around 40% of DADDY's total supply directly from the developer, quietly sold tokens worth approximately $23,000 so far in July. That's notable because he had previously promised never to sell. The revelation likely accelerated the exit of retail holders who had bought in partly on that pledge.

Trading volume collapsed alongside the price. From nearly $4.8 million earlier in July, daily volume shrank to around $125,851 at the time of reporting. Thin liquidity at that level means even modest sell orders can move the price sharply, which has kept the token in a persistent downtrend.

Tate now faces 42 criminal charges in the United Kingdom while extradition proceedings in the United States remain ongoing. The legal cloud shows no sign of lifting, and DADDY's price is behaving accordingly. Memecoins tied to individual personalities carry this specific risk: the moment public sentiment around that person turns, there is rarely anything fundamental to catch the fall. DADDY has no utility beyond the Tate brand, and right now that brand is under serious pressure.

This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always do your own research before making any financial decisions.