“Your addiction to clicks has clouded your judgment and you’ve made very real errors with very real repercussions.” — Logan Paul is suing Coffeezilla for documenting the alleged CRYPTOZOO scam.
Coffeezilla aka Stephen can best be described as “The Internet Detective” and is known for going after fake gurus and crypto scams. He recently released a three part series chronicling the story of Logan Paul’s NFT project CRYPTOZOO.
It’s a project that was initially introduced on the Impaulsive podcast by Logan as “A really fun game that makes you money.”
Logan touted many things that would make CRYPTOZOO a success:
A strong dev team.Unique hand drawn art.Logan’s backing of a million dollars in development and his marketing support.
Despite its lofty promises, CRYPTOZOO ultimately failed to deliver on many of its promises and effectively rugged its community.
CRYPTOZOO allowed users to buy a crypto token called $ZOO which is the in game currency that can be used to buy Egg NFTs.
Egg NFTs could be hatched into animals. Two animals could then be bred with each other to create unique animal hybrids.
The animal NFTs could earn players passive yield in the form of additional $ZOO tokens based on rarity. The animal NFTs could eventually be burned to release accrued $ZOO tokens that could be reinvested back into the system or used to cash out.
With the promise of easy money, many users flocked to the project and collectively invested millions of dollars on launch day. The $ZOO token skyrocketed in value and reached a $2 Billion market cap with tens of millions in trading volume per day.
All seemed good on the surface but as the game got closer to launch, the community began to notice that the “unique hand drawn art” that was promised looked like poorly photoshopped Adobe stock images.
When hatch day came, the community discovered that the core mechanic of CRYPTOZOO — passive yield on NFTs did not work and some users even struggled to hatch their eggs.
The polish that was expected from a Logan Paul NFT project with over $1 million in backing felt like it was lacking in substance.
When the community discovered the myriad of issues on launch day, the $ZOO token nosedived over 63%. Logan Paul who up until now had been shilling CRYPTOZOO nonstop never showed up with the marketing support that was promised and seemingly abandoned the project.
This had all the hallmarks of a NFT rugpull and was orchastrated by one of the biggest influencers in the world.
Coffeezilla’s series uncovers a wild story consisting of criminals, fake orphans, and a talent manager that was part of an alleged market manipulation scheme.
Logan finally responded to the allegations this week and instead of providing a meaningful explanation for his actions, opted to threaten Stephen with lawsuit instead.
Time will tell how this story plays out but CRYPTOZOO will go down as one of the more interesting and criminal intersections of Web 3 and the creator economy.