Circle DJ Khaled post ignites Crypto Twitter backlash

Circle, the company behind the USDC stablecoin, sparked controversy on Crypto Twitter after welcoming rapper DJ Khaled to “team USDC.” The announcement came via X (formerly Twitter) on Monday, featuring a photo of Khaled wearing a Chelsea FC jersey with “USDC by Circle” on the chest. The post included Khaled’s signature phrase, “Another one,” but did not specify any sponsorship or financial arrangement.

The backlash stemmed from DJ Khaled’s past involvement in the Centra Tech ICO scam. In 2017, Khaled promoted Centra’s fraudulent crypto card without disclosing he was paid $50,000 for the endorsement. The SEC fined him $150,000 for the violation. While the post from Circle appeared to be a lighthearted nod, many users criticized the association, citing Khaled’s history with undisclosed promotions.

Comments on X ranged from sarcastic to outright furious. One user suggested Circle should next sponsor Kim Kardashian, referencing her own SEC penalty for promoting EthereumMax. Former MetaMask executive Taylor Monahan questioned why Circle would align with someone linked to a notorious scam. Despite the outrage, Circle’s CEO Jeremy Allaire clarified that the post was not a formal sponsorship but a playful gesture.

The Centra Tech scandal involved fake partnerships and a nonexistent CEO, leading to millions in fines and prison sentences for its founders. While Khaled settled with the SEC and is legally free to engage in crypto promotions, the incident remains a sore point for the community. The episode highlights the lingering skepticism around celebrity endorsements in the crypto space.