Ronaldinho Gaúcho, the renowned soccer player, has joined the ranks of soccer legends promoting the Solana token Water Coin (WATER) on Instagram. Just yesterday, Lionel Messi’s X account featured a similar post endorsing the token. Ronaldinho shared an Instagram story on July 9, reaching his 76.6 million followers, with a photo of himself accompanied by the Water Coin mascot peeping over his shoulder. The post also tagged the token’s official Instagram account.
Following Ronaldinho’s endorsement, Water Coin experienced a surge in value, rallying by 38.8% to reach $0.0012 within an hour. However, the token’s price has since dropped below $0.00083, representing a 71% decline from its all-time high on June 26, according to CoinGecko data.
Interestingly, Water Coin’s price had already seen a significant increase of 158% after Messi’s Instagram post on June 8, which featured a similar image to Ronaldinho’s recent post. Water Coin’s primary focus is to raise awareness about water-related issues, including supporting sustainable projects that combat deforestation and aid in water distribution in Africa, as stated on its official website. The token’s roadmap outlines plans to form partnerships with celebrities and eventually transition into a charity-focused environmental token, aiming to achieve its overarching goal.
Despite the token’s noble intentions, critics have raised concerns about Water Coin’s legitimacy. YouTuber Ajay Kashyap was among those who flagged the token as a potential pump-and-dump scheme. The WATER Foundation, the organization behind Water Coin, claims to have only distributed 5% of the total 88.88 billion WATER tokens to themselves. However, skepticism remains within the industry.
Ronaldinho’s involvement with cryptocurrencies has not been without controversy. The Brazilian national appeared before a Brazilian parliamentary committee inquiry in August regarding an alleged $61 million crypto pyramid scheme that exploited his image. The scheme, known as “18kRonaldinho,” promised investors 2% daily returns and utilized Ronaldinho’s likeness for marketing purposes. The soccer star vehemently denied any involvement, asserting that he never partnered with the project and considered himself a victim of unauthorized use of his image.
This trend of celebrities launching and endorsing crypto tokens is not unique to Ronaldinho. Other high-profile figures, including former Olympian Caitlyn Jenner and UFC fighter Khazmat Chimaev, have also dabbled in the crypto space. Chimaev, for instance, promoted a crypto token named after him, Khazmat Chimaev (SMASH), on his Instagram. However, he later distanced himself from the memecoin, claiming no involvement. Crypto sleuth ZachXBT discovered that the distribution of the SMASH token exhibited characteristics of a pump-and-dump scheme, with the SMASH team allegedly owning 78% of the token’s supply.
As the popularity of crypto tokens grows, it is crucial for investors to exercise caution and remain vigilant. The industry continues to face challenges, with scams and vulnerabilities prevalent. A recent study revealed that 1 in 6 new Base memecoins are scams, and 91% of these tokens have vulnerabilities, emphasizing the need for careful evaluation and discernment.