ElizaOS Token Collapses to All-Time Low as Foundation Shuts Down
Eliza Labs founder Shaw Walters declared the ElizaOS (ELIZAOS) token “useless” and stated the muse is winding down, sending the altcoin token to a report low.
Walters posted the assertion on X, telling holders that no provide, buybacks, or basis help stay to defend the value.
What Happened With ELIZAOS
Walters stated regulation agency Burwick sued the undertaking, and his aspect settled with a bunch of holders. The staff handed over what he described as the rest of the treasury and all remaining cash.
He referred to as the declare “ridiculous” however stated the undertaking lacked the capital to struggle it in court docket. Burwick filed the federal class motion within the Southern District of New York on April 22, 2026.
The criticism alleged that the undertaking engaged in false promoting, misleading practices, negligent misrepresentation, and unjust enrichment. It additionally challenged the migration from ai16z to ElizaOS, which expanded provide from 1.1 billion to 11 billion tokens.
“According to the criticism, on-chain knowledge displays losses throughout at the least 3,945 buyer wallets, with complete class hurt believed to be within the a whole lot of thousands and thousands of {dollars},” the textual content read.
The ai16z token launched on Solana (SOL) in October 2024. The undertaking rebranded to ElizaOS in January 2025. At its January 2025 peak, ai16z carried a market capitalization of practically $2.4 billion.
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Why the ELIZAOS Token Crashed and What Walters Does Next
ELIZAOS fell to a report low close to $0.000284 earlier in the present day. At press time, it traded at $0.00029, down about 18% on the day. That left the token with a market capitalization of practically $2.15 million.
Walters revealed that he by no means bought his ai16z holdings and drew solely a modest wage, comparable to that of the undertaking’s different engineers. He stated he now not owns any tokens and can by no means connect a token to Eliza once more.
“The token is useless. Completely. The basis is winding down. I’m beginning over, since I personal the IP, and I’m by no means letting a token come shut to Eliza once more, perhaps,” he added.
Walters stated he desires the trade to break with its on line casino mentality and give attention to constructing actual merchandise. He added that he has turned bearish on crypto whereas staying optimistic about artificial intelligence (AI).
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The put up ElizaOS Token Collapses to All-Time Low as Foundation Shuts Down appeared first on BeInCrypto.
