Class Action Sues Iggy Azalea Over MOTHER Coin Promises

A federal class action lawsuit filed this week in the U.S. District Court for the Southern District of New York accuses rapper Iggy Azalea of misleading investors in her MOTHER meme coin through unfulfilled promises of real-world utility. The complaint, brought by Burwick Law on behalf of buyers including Wisconsin resident Kenneth Kolbrak, alleges violations of New York consumer protection laws, including deceptive acts and false advertising under General Business Law sections 349 and 350, as well as negligent misrepresentation and unjust enrichment.

Azalea, whose real name is Amethyst Amelia Kelly, launched the Solana-based token on May 28, 2024, marketing it as more than a typical meme coin. She positioned MOTHER as the native currency for an ecosystem she promoted, including the online casino Motherland, telecom service Unreal Mobile, which she co-founded, and a luxury marketplace called DreamVault. According to the complaint, Azalea told followers on social media they would need MOTHER to access Motherland and could use it to buy phones and plans through Unreal Mobile, potentially saving up to $600 annually. She also highlighted partnerships with market makers Wintermute...