AceShowbiz - Iggy Azalea is currently the subject of a federal class-action lawsuit involving her Solana-based meme cryptocurrency, MOTHER.

According to court documents reported by Burwick Law, investor Kenneth Kolbrak alleges that he and other purchasers were misled into buying the token based on promises of its “real-world utility” that ultimately did not come to fruition.

The plaintiffs’ attorneys emphasized that this case is not about typical cryptocurrency market volatility. Instead, it focuses on a celebrity-led promotional campaign that encouraged consumers to purchase and hold the digital token through specific and material claims.

The lawsuit asserts that Iggy Azalea promoted MOTHER as part of a wider business ecosystem referred to as MOTHERLAND. This ecosystem was said to include an online casino, a merchandise outlet, a telecommunications company, and entertainment projects.

Burwick Law has formally filed the federal class action on behalf of MOTHER token buyers. The complaint highlights that MOTHER’s value has dramatically fallen, dropping 99.5% from its all-time high shortly after its May 2025 launch.

Kolbrak stated he invested in MOTHER after seeing public statements about its utility and indicated he would have either refrained from investing or paid much less had he known these promises would not be met.

Iggy Azalea introduced MOTHER following her disassociation from another token called IGGY, which allegedly used her name without permission. MOTHER quickly gained traction, reportedly reaching a market cap of $200 million within weeks.

The lawsuit also points out that the MOTHERLAND casino was later operated using traditional currency rather than the MOTHER token itself, undermining the token’s purported ecosystem utility.

According to the complaint, “The only way MOTHER could have value was if other people wanted to buy it.”

As of now, Iggy Azalea has not issued any public response regarding the lawsuit.