Logan Paul suspected of cryptocurrency fraud
A famous blogger got caught up in a scandal
Popular YouTube blogger Logan Paul has found himself at the center of a scandal. Journalists allege that the influencer was involved in Pump and Dump schemes, artificially inflating cryptocurrency prices to profit from them later.
The BBC accused Logan Paul of misleading his vast audience by praising certain cryptocurrencies. Paul allegedly promoted crypto projects without disclosing his financial involvement in them.
The allegations suggest that Paul participated in Pump and Dump schemes, where he "encouraged the promotion of specific cryptocurrencies to artificially inflate their value." According to the BBC, Paul’s endorsements caused sharp price increases, allowing him to profit from the surge, while leaving other investors at a disadvantage when prices plummeted.
Who is Logan Paul?
Logan Paul gained global fame as an internet celebrity, initially uploading short video clips on Vine and later transitioning to YouTube after Vine shut down. About three years ago, Paul’s content began increasingly mentioning cryptocurrencies.
In 2021, Paul promoted a series of highly risky cryptocurrency tokens, including the meme coin Elongate. After Paul’s endorsement, the token's price skyrocketed by 6000%, only to crash permanently within hours.
That same year, Paul also became a promoter of the Dink Doink token, leading to a massive influx of buyers and a sharp price increase. However, as major holders began selling their tokens, the price dropped by 96%.
Logan Paul is not the only public figure embroiled in controversies over dubious projects. For example, NBA legend Shaquille O’Neal recently settled a lawsuit related to Astrals NFTs and GLXY tokens.
