In January 2023, the YouTuber and boxer Logan Paul had declared that he would compensate about $1.5 million to traders of the NFT undertaking “Crypto Zoo,” the latter having turned out to be a complete failure.
In reality, parallel to the NFT assortment, which has now misplaced virtually all of its worth, a sport was additionally to be launched through which holders of those non-fungible tokens may take part and earn passive returns.
The gaming ecosystem was by no means truly inaugurated and plenty of customers started accusing Logan Paul of fraud.
Eight months after guarantees of compensation, the general public determine says he’s working to reimburse his neighborhood however sadly nonetheless nobody has gotten their a reimbursement.
The rug pull of Logan Paul’s “Crypto Zoo” NFT undertaking
Two years in the past, the well-known YouTuber and boxer Logan Paul had introduced the creation of his personal NFT undertaking, known as CryptoZoo, which attracted a number of consideration inside his neighborhood within the first few months.
The undertaking consisted of a collection of non-fungible tokens representing “digital eggs” that have been to be hatched on the scheduled launch of a digital sport through which the NFTs in query would have utility.
The holders of those non-fungible tokens, in response to the guarantees of the YouTuber, would have had entry to the sport with the opportunity of receiving passive returns by making a yield on their preliminary funding.
The fact of the details is that the long-awaited gaming ecosystem was by no means launched, with traders dropping hope after Logan Paul stopped mentioning CryptoZoo.
The NFTs within the assortment began to see their worth depreciated, going from an preliminary common flooring worth of 0.39 ETH, with a counter worth of about $1350 in response to Ether costs as of September 2021, to the present 0.025 ETH, corresponding to simply over $40 (final sale and greatest provide on OpenSea).Basically, objects from the NFT undertaking that has by no means seen the sunshine of day exterior of digital collector marketplaces have misplaced greater than 95% of their US greenback countervalue.
Logan Paul’s whole neighborhood lashed out at him within the months that adopted for not delivering on his guarantees, having successfully scammed the general public with which he enriched himself on his YouTube channel.
As icing on the cake, it’s price noting that parallel to the junk NFTs that are actually price virtually nothing, a cryptographic token, known as ZOO, was additionally launched, which after rising quickly within the decentralized markets for just a few weeks started a speedy descent till it noticed its worth drop to zero.
Once more, the token was imagined to function a utility token throughout the phantom sport.
In February 2023, traders within the ZOO token and NFTs filed a submitting within the type of a category motion within the Western District Court docket of Texas to sue Logan Paul’s rug pull, which fraudulently promoted a set of merchandise that turned out to be nugatory.
The submitting alleged that unbeknownst to prospects, the promised sport both didn’t work or by no means existed, and the defendants manipulated the crypto markets to their very own benefit with the intention to revenue financially on the backs of traders.
YouTuber says he’s working to compensate traders upset by his NFT undertaking
Given the shitstorm that occurred on the YouTuber’s numerous socials all through 2022, Logan Paul had introduced in January 2023 that he had devised a “3-step” compensatory plan to compensate all those that had misplaced cash investing in CryptoZoo’s NFTs and the ZOO token.
In complete he would promise to provide again over $1.5 million to his neighborhood.
1 month after the discharge of the video message through which the boxer introduced his willingness to return the misplaced cash to traders, one other outstanding YouTube persona generally known as “Coffeezilla” publicly denounced Logan Paul, calling CryptoZoo an outright rip-off.
In a video interview he reportedly acknowledged the next:
“I’ve spoken to the victims and have been watching their public Discord chat all 12 months. The final time Logan communicated with them was in January. I’ve additionally reached out to Logan a number of instances asking about this.
In accordance with the victims, there have been zero funds. There’s no excuse for this. Logan made a public assertion about this, took credit score for it, and has ghosted the victims.”
Now a number of months after the incident, nobody has but acquired the slightest compensation with the neighborhood nonetheless accusing the YouTuber of mocking his viewers.
Nevertheless, the king of damaged guarantees appears to not have forgotten what he stated in January.
Certainly, throughout the latest presentation of a combat between him and boxer Dillon Danis that can happen on 14 October on the AO Area in Manchester, he explicitly acknowledged that he’s “working” to reimburse traders concerned within the CryptoZoo undertaking.
Given his observe file and aptitude for faking it on digicam, we are able to solely assume that his phrases can be a part of yet one more lie in a narrative that can go down in historical past as one of many largest scams pulled off by a YouTuber.
JUST IN: Logan Paul says he’s “engaged on” paying again traders from #NFT rugpull undertaking ‘CryptoZoo’
Do you consider him??#crypto #bitcoinpic.twitter.com/gz2rTguiA8
— Crypto Macro (@cryptomacro14) August 22, 2023
