In January 2023, Logan Paul, a popular YouTuber and boxer, announced that he would compensate investors of the NFT project “
Crypto Zoo” with $1.5 million after the project turned out to be a failure. The project included a collection of non-fungible tokens (NFTs) and a planned virtual game where holders of these tokens could earn passive returns. However, the game was never launched, and many users accused Logan Paul of fraud.
Despite promises of compensation, no one has received their money back, and Logan Paul’s community has criticized him for not delivering on his promises. The value of the NFT collection also depreciated significantly, losing over 95% of its US dollar value. Additionally, a cryptographic token called ZOO, which was supposed to be a utility token within the game, also saw its value drop to zero.
Investors in the ZOO token and NFTs filed a class-action lawsuit against Logan Paul, alleging that he fraudulently promoted products that turned out to be worthless. They claimed that the promised game either did not work or never existed, and that Logan Paul manipulated the crypto markets for his own financial gain.
In January 2023, Logan Paul announced a compensatory plan to return over $1.5 million to those who lost money investing in CryptoZoo’s NFTs and the ZOO token. However, a prominent YouTuber known as “Coffeezilla” publicly denounced the project as a scam and stated that the victims had not received any payments from Logan Paul.
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