The Baby Shark token on Story Protocol plummeted 90% due to the creator denying authorization issues

ChainCatcher news, according to CoinDesk, claims that the Baby Shark token, which represents the most viewed video on YouTube, plummeted 90% after the company that minted this Meme coin realized it had no issuance rights from the issuing platform. The token's price on Story Protocol fell from a high of 35 cents on Tuesday to less than 0.064 cents.

Previously, the brand owner Pinkfong Co., based in Seoul, released an official statement on the X platform on Friday, stating that the token "is in no way associated with the company." "Baby Shark" is a two-minute animated music short aimed at young children, which has garnered over 16 billion views since its release in 2016. The token was issued through IP.World, which at one point had a market cap of up to $200 million. IP.World stated that the rights provided by its licensing partner Pinkfong were flawed, and its verification process hindered the distribution of creator fees.

Pinkfong Co. stated in the announcement that only the Meme coin Baby Shark on Solana and the Baby Shark Universe token on BNB Chain are officially recognized assets. However, this statement failed to calm traders' emotions, as they previously mistakenly believed that the token was an official collaboration project of Pinkfong Co., and this misunderstanding was further exacerbated by influencer endorsements and the promotional efforts of Story Protocol itself.