A shocking claim has emerged, alleging that former New York City Mayor Eric Adams may have taken the idea for his 'NYC Token' from a Bronx-born entrepreneur. This story is quickly becoming a hot topic, and for good reason. Let's dive in.
Edward Cullen, co-founder and CEO of Crescite, a digital assets firm, is preparing a cease-and-desist letter. He asserts that Adams' recently launched NYC Token, which was promoted with the intention of generating revenue to combat "antisemitism and anti-Americanism" and provide resources to underprivileged communities, is based on his concept.
Cullen's firm, Crescite, presented a pitch deck to Decrypt, which highlights striking similarities to Adams' project, which debuted on Monday. "We're 100% confident that he took this concept from us," Cullen stated. He expressed his surprise at Adams' launch of a token with the same name and general concept.
The NYC Token, built on the Solana blockchain, initially saw a surge, reaching a market cap of approximately $600 million. However, the value plummeted shortly after its debut, recently stabilizing around $41 million. This drastic drop has triggered allegations of potential misconduct. Specifically, concerns arose when someone with access to a crypto wallet linked to the token's creation reportedly removed nearly $1 million in liquidity from a Solana-based decentralized exchange.
In response to these allegations, a spokesperson for Adams stated that the token's market maker "moved liquidity" to ensure smooth trading. The spokesperson emphasized that "the team has not sold any tokens and are subject to lockups and transfer restrictions." A revised statement further clarified that "THE TEAM HAS NOT WITHDRAWN ANY MONEY FROM THE ACCOUNT," yet did not address questions about Cullen's claims.
But here's where it gets controversial... The official X account for NYC Token states it's based in Europe, which raises eyebrows given Adams' recent travels to Albania, Israel, and Uzbekistan during his mayoral tenure. Additionally, a portion of the token's supply is allocated to its creators and "C18 Digital," the entity behind the project's website. This entity was established on December 30th, according to Delaware's Division of Corporations.
Cullen claims he pitched the NYC Token concept to Adams in June, along with several political action committees. He also stated that Crescite owns the domain "nyctoken.com" and has taken steps to trademark the term. He says that Adams' team's response was lukewarm, but they didn't completely dismiss the idea. Cullen feels more disappointed that Adams "butchered the project" rather than simply taking elements from it.
Cullen's pitch deck, shared with Decrypt, showcased a different logo and color scheme for "NYC Token." Another slide detailed how the token could generate revenue streams for each of the city's five boroughs. Crescite planned to offer the token through a private sale, with half the proceeds going to yield-bearing assets and the remainder to venture investments, with holders having a say in allocation.
Innovate NY, a political action committee chaired by Cullen, supported former New York governor Andrew Cuomo with $81,400, who unsuccessfully ran against current NYC Mayor Zohran Mamdani. The organization also spent $15,000 in opposition to the current mayor. In October, Innovate NY endorsed Cuomo for mayor, with the NYC Token being a core part of its policy agenda. The term "NYC Token" was trademarked in a press release.
Interestingly, Cullen ran against Adams for mayor in 2021, though he didn't appear on the ballot. During his campaign, Cullen promoted inclusive capitalism. Furthermore, infrastructure firm BitGo is collaborating with Crescite on "faith-based digital asset initiatives," exploring a stablecoin to fund church operations. Cullen was also knighted by the Catholic Church last year.
And this is the part most people miss... The situation is complex, with conflicting narratives and financial implications. The future of the NYC Token and the validity of Cullen's claims remain uncertain.
What do you think? Do you believe the former mayor took the concept? Share your thoughts in the comments below!
