Logan Paul Faces Lawsuit Over CryptoZoo Involvement – Will Investors Get Refunds?
YEREVAN (CoinChapter.com) – The ongoing Logan Paul CryptoZoo controversy takes an unexpected turn. Remember Logan Paul? He’s a former wrestler turned YouTuber and crypto influencer who was sued by disgruntled investors over an allegedly fraudulent NFT project called CryptoZoo. A year after promising recourse to NFT buyers, he’s finally ready to take action. Or is he? Let’s find out.
Logan Paul tweet. Source: X
Believe Logan Paul and Get Your CryptoZoo NFTs Bought Back
As mentioned, Logan Paul has launched a buyback program for CryptoZoo NFTs, committing over $2.3 million to this initiative. The program aims to compensate investors who bought Base Egg and Base Animal NFTs from the CryptoZoo project, which Paul introduced in 2021.
Paul has created a website where investors can submit their claims, with a submission deadline of February 8, 2024. Participants in this program will receive 0.1 ETH (valued at approximately $224) for each eligible NFT. However, hybrid animal NFTs and holders of the CryptoZoo-linked “ZOO” token will not be compensated under this program, as specified in the terms.
Furthermore, participants in the buyback MUST waive any current or future legal claims against Paul and related personnel. This move could be a strategic attempt to minimize potential legal consequences, considering that Paul is facing a class-action lawsuit related to the CryptoZoo project.
In this lawsuit, Paul has shifted the blame to CryptoZoo’s lead developers, Eduardo Ibanez and Jake Greenbaum, accusing them of involvement in fraudulent activities that derailed the project.
What Happened to the NFT Project?
Paul has also confirmed that CryptoZoo will not be released, citing financial constraints and regulatory obstacles as the primary reasons. He has emphasized that he never profited from the project and that the decision to cancel the game was a result of trading activities carried out without his knowledge.
This development follows a period of controversy surrounding the CryptoZoo project. Users accused Paul and his associates of promoting a game that they never fully developed, leaving players unable to use the NFTs they had purchased as promised.
The situation gained significant attention, especially after a YouTube reporter named Coffeezilla (Stephen Findeisen) conducted an investigation that exposed various issues with the project.
To elaborate, Logan Paul has a substantial online following, with 23 million subscribers on YouTube and 6.7 million followers on Twitter. The former wrestler promoted the NFT project on his platforms, promising a “fun and entertaining way” to earn money through P2E gaming.
However, an increasing number of ZOO token buyers discovered that the project failed to deliver on its promises. The game did not function, raising doubts about the creators’ intentions.
Plaintiff Don Holland even claimed that the project was a “rug pull.” As a result, Logan Paul is facing a lawsuit for his involvement in CryptoZoo and the alleged “theft” of millions of investors’ crypto assets.
