The famous American influencer Logan Paul, followed by more than 23.5 million people on YouTube, will finally be sued for fraud and scam. The plaintiffs accuse his CryptoZoo project of being in fact a “rug pull”: since the sale in 2021, the team has not given any sign of life.
https://cryptoast.fr/influenceur-logan-paul-poursuivi-justice-arnaque-nfts/
Logan Paul and CryptoZoo in court
It’s a story we’ve been hearing about for weeks but which should take a new turn today. Several investors gathered to file a lawsuit against Logan Paulfamous YouTuber with more than 23.5 million subscribers, as part of an alleged NFT scam called CryptoZoo.
In a motion filed February 2 in the Western District Court of Texas, plaintiffs alleged that Logan Paul and the other members of CryptoZoo staged a “rug pull.” In the document we can read:
“Defendant marketed the CryptoZoo project claiming that by purchasing the NFT, buyers would later receive benefits, including staking, exclusive access to rewards in other cryptocurrencies, and support from an online ecosystem. line where the NFT will have an interest. »
Concretely, they promised NFT buyers exclusive access to a blockchain game, airdrops, staking options, etc. While the sales phase took place in 2021, nothing has yet been issued by CryptoZoo and the team retained the funds. The query tells us:
“In fact, shortly after completing the sale of all their NFTs, CryptoZoo members […] transferred millions of dollars worth of cryptocurrency to, among other things, wallets controlled by the defendants. »
The other defendants named in the lawsuit are Danielle Strobel, Jeff Levin, Eddie Ibanez, Jake Greenbaum (known as Crypto King) and Ophir Bentov (also known as Ben Roth). Note also that the attorney Tom, who wrote this complaint, also made a complete YouTube video to detail the case.
👉 To go further – Understand everything about NFTs with our complete guide
Cryptoast launches its 1st collection of NFTs
NFTs associated with a collector paper journal 🔥
A proven scam
This story started last December, when YouTuber Coffeezilla – to 2.5 million subscribers – investigated the CryptoZoo case and Logan Paul. In this series of 3 videos viewed nearly 20 million times, we discover the extent of this multi-million dollar scam.
Thanks to numerous interviews, exchanges with the community, in-depth research on the CryptoZoo project team, we discover that Logan Paul’s ambitions were never really to deliver any blockchain gamebut to leave with the fund.
In a response video, Logan Paul denies the accusations and explains that a developer has ” stole the game code, fled to Switzerland and demanded a million dollars to return the code “. He also threatens Coffeezilla with legal action, a decision he will return to a few days later.
Indeed, the American influencer and entrepreneur has finally confessed his wrongs and revealed a plan to relaunch his CryptoZoo game, in which he wants to make 1,000 Ether (ETH) available to reimburse NFT holders of their initial investment of 0.1 ETH and even wants to resume development of the game.
👉 On the same theme – NFT: A Frenchman arrested in the United States for a multi-million dollar scam
Trade on the leading DEX
⛓️ A platform at the heart of DeFi
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Journalist for Cryptoast, I strive to dissect every detail of the exciting world of cryptocurrencies and make it accessible and understandable to as many people as possible.
Lilian Aliaga
344 items
