Logan Paul Offers Refunds for Failed CryptoZoo Game

Lily Polanco Follow Jan 04, 2024 · 2 mins read
Logan Paul Offers Refunds for Failed CryptoZoo Game
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Controversial internet personality Logan Paul landed in hot water again over his now-defunct crypto project CryptoZoo. Launched in 2021, CryptoZoo was marketed as a Pokémon-inspired game where players could buy NFT “eggs” to hatch rare digital pets. However, the game never fully materialized beyond the initial NFT sales. After facing harsh criticism and potential legal action, Paul has offered refunds - albeit with a catch.

In a statement posted online, Paul said he is “personally committing” over $2 million to buy back the NFTs from dissatisfied CryptoZoo investors. The refund program is accepting claims until February 8th. Approved claimants will receive 0.1 ETH per eligible NFT. However, the fine print makes clear that “hybrid” NFTs created by players breeding pets are excluded.

Additionally, to receive the refund, claimants must sign legal forms agreeing not to take any future legal action against Paul related to CryptoZoo. This provision comes as Paul already faces a class action lawsuit alleging he promoted CryptoZoo to profit from crypto manipulation.

For his part, Paul insists he never financially benefited from CryptoZoo, claiming he actually lost hundreds of thousands of dollars trying to get the project off the ground. In a separate legal filing, he alleges other partners involved with CryptoZoo were “bad actors” who sabotaged its development.

Some legal experts theorize the refund program is a way for Paul to reduce damages from the lawsuit, by settling with claimants individually in exchange for them forgoing participation in the class action.

The saga serves as a cautionary tale about the risks of influencer-backed crypto projects and reliance on celebrity endorsements. CryptoZoo gained major hype due to Paul’s promotions, but ultimately failed to reward that trust from his fanbase.

It remains to be seen how Paul’s legal troubles and reputation will fare once the dust settles. For now, spurned investors can either accept refunds in exchange for keeping further complaints against Paul under wraps, or reject refunds to keep pursuing litigation against the embattled YouTuber.

The CryptoZoo debacle follows other controversies for Paul, ranging from objectionable YouTube videos to dubious business ventures. As he attempts to make amends over this latest issue, broader questions loom about accountability and lessons learned when influencer-driven hype fails to manifest. For potential investors, extra scrutiny and skepticism of celebrity crypto projects could help mitigate risks until advancements make the space more regulated, transparent and accountable.

Written by Lily Polanco Follow
Junior News Writer @ new.blicio.us.