Iggy Azalea is facing a U.S. class-action lawsuit over the Solana-based MOTHER memecoin. The complaint says buyers were misled by public claims that the token would serve as the native asset of a broader business ecosystem, while the actual rollout of those products and integrations fell short of what was promoted. The case was filed in Manhattan federal court and names Azalea, whose legal name is Amethyst Amelia Kelly. It seeks damages for MOTHER buyers who lost money after purchasing the token.
Plaintiff Kenneth Kolbrak says he bought MOTHER after seeing statements about its real-world utility. According to the filing, he would not have purchased the token, or would have paid less for it, if he had known that the claimed use cases were not fully delivered or were not maintained in a durable way. The lawsuit does not appear to treat MOTHER as a security. Instead, it centers on consumer-protection claims tied to alleged deceptive marketing, payment features, and commercial integrations.
MOTHERLAND and payment utility are under scrutiny
A central part of the complaint focuses on MOTHERLAND, an online casino promoted as being “powered by $MOTHER.” The filing says that when the casino launched in January 2025, it used Tether for wagering, bonus accounting, and settlement rather than MOTHER. The plaintiffs argue that this undercuts the token’s advertised role in a live commercial product.
The lawsuit also challenges statements tied to Unreal Mobile. In June 2024, Azalea had said MOTHER holders would be able to use MOTHER or Solana to buy smartphones and mobile plans through Unreal Mobile. The new complaint says there was no durable, public MOTHER payment integration on the platform as of the filing date. That remains an allegation at this stage and has not been tested in court.
MOTHER drew attention during the 2024 wave of celebrity-linked memecoins. Azalea promoted the token alongside planned use cases tied to mobile payments, merchandise, and other commercial connections, helping fuel interest in the project during its early run.
Disclosure around market makers is also disputed
The complaint also points to Azalea’s links with crypto market makers Wintermute and DWF Labs. It argues that buyers were not fully informed about the terms of those relationships or the risks tied to them. Earlier reporting noted that in July 2024, MOTHER rose more than 30% after Azalea announced a partnership with DWF Labs, before surrendering part of those gains.
MOTHER launched in May 2024 and reached a market value of more than $136 million by mid-June 2024. Its market capitalization has since dropped to about $1.3 million. The lawsuit uses that collapse as part of the context for investor losses.
At the time of reporting, Azalea and her representatives had not issued a public response. The plaintiffs are represented by Burwick Law, a firm that has brought other lawsuits involving crypto projects.