Baby Shark Token Plunges 90% After Pinkfong Denial
The Baby Shark Token, a meme token launched on Story Protocol, plunged 90% after Pinkfong Co. officially denied any affiliation. The token’s price fell from a peak of $0.35 to just $0.00064, wiping out nearly $200 million in market value. Issued via IP.World, the project team only realized post-launch that they lacked authorization to use the Pinkfong IP. Pinkfong clarified that only two Baby Shark tokens—on Solana and BNB Chain—are officially recognized, rejecting the Story Protocol version. The denial, amplified by influencer endorsements and Story Protocol marketing, spooked traders and triggered a massive sell-off. This incident highlights the risks of unauthorized IP-backed meme tokens and reinforces the need for thorough due diligence in crypto launches.
Bearish
The unauthorized launch and subsequent 90% crash of the Baby Shark Token on Story Protocol signal a clear loss of investor confidence. Similar cases—such as unlicensed IP-backed tokens or scam coins—often end in steep sell-offs once legitimacy is challenged. In the short term, traders are likely to avoid related meme tokens amid heightened scrutiny. Long term, this event may force platforms and creators to tighten IP checks, reducing hype-driven launches but improving overall market security.