Will the SEC charge Haliey Welch in cryptocurrency rug pull controversy? Viral Hawk Tuah girl addresses legal proceedings

Popularly known as "Hawk Tuah," girl Haliey Welch has spoken about the controversy regarding her participation in the $HAWK token cryptocurrency. The US Securities and Exchange Commission (SEC) started investigating the token when its value plummeted, which caused major financial losses to investors.

Haliey Welch told TMZ that the investigation has officially ended and there will be no consequences or charges filed against her.

Welch stated, "For the past few months, I've been cooperating with all the authorities and attorneys, and finally, that work is complete."

According to TMZ, her attorney, James Sallah, further clarified,

"The SEC closed the investigation without making any findings against, or seeking any monetary sanctions fromHaliey. Because they did not bring any action against her, there are no restrictions on what she can do in regards to crypto or securities in the future."

The SEC has declined to comment on the matter. However, Welch's attorney, James Sallah, confirmed she has severed ties with the LLC behind the $HAWK token and will no longer support or promote it.

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Haliey Welch's crypto controversy and upcoming documentary

Haliey Welch, who gained viral fame in June 2024 due to a TikTok video, launched the $HAWK token in December 2024. The meme coin quickly surged to a $490 million market capitalization before plummeting by more than 90% within hours. This sharp decline left many investors facing significant losses, leading to legal action against the coin's creators, as reported by the Daily Mail.

A lawsuit was filed against overHere Ltd., its founder Clinton So, social media influencer Alex Larson Schultz, and the Tuah The Moon Foundation, alleging that the coin was launched without proper approvals.

Investors participated in a coin pre-sale that reportedly secured $2.8 million while valuing the coins at $16.69 million. The plaintiffs are seeking more than $150,000 in damages from the defendants. The legal complaint did not include Welch as a party responsible for the allegations.

The SEC has decided to stop investigating Welch, therefore, she does not need to undergo any penalties or face restrictions in relation to cryptocurrency activities.

The SEC now conducts extra security checks on cryptocurrency projects that influencers and notable public figures use for promotion.

Following the SEC's decision, Haliey Welch has announced her focus on new ventures unrelated to cryptocurrency. She stated that she is "happy to be starting back up again" but emphasized that her plans do not involve the crypto industry.

She works on the "Hawk Tuah" documentary project that Bungalow Media + Entertainment, a production company known for winning Emmys, is developing right now, as reported by Deadline.

The documentary will explore Haliey Welch's unexpected rise to internet fame following her viral video, as well as the cultural impact of the "Hawk Tuah" phenomenon. It will feature interviews, behind-the-scenes footage, and insights into how a single moment online can lead to a global trend.

Welch, widely recognized as the "Hawk Tuah" girl, shared an Instagram reel on March 25 to address the numerous rumors that circulated during her absence. The video begins with her appearing to be asleep before transitioning to a shot of a graveyard cross inscribed with "RIP Haliey Welch," a nod to past speculations about her supposed demise.

The clip takes a humorous turn as it portrays her in various exaggerated scenarios, including pregnancy and incarceration, both of which had been popular online rumors in recent months.

Toward the end of the video, Welch's friend and podcast co-host, Chelsea Bradford, urged Welch to wake up, telling her they had things to do. Accompanying the post, Welch captioned it with a playful remark: "What'd I miss?"