- MrBeast is accused of a $10M pump and dump scheme involving low-cap cryptos
- Projects like SuperFarmDAO and others were allegedly part of this scheme
- The case highlights growing concerns about pump and dump tactics in crypto
MrBeast, one of the most popular YouTubers in the world, has been accused of taking part in “promote-and-dump” cryptocurrency operations, through which he allegedly earned over 10 million dollars.
These accusations were made by a blockchain investigator who goes by the nickname “SomaXBT” on the social platform X.
What do you think about it? I personally find it worrying how some influencers might be using their platform for personal gain, leaving their followers in the dust.
Promote-and-Dump
SomaXBT’s investigation claims that MrBeast invested $100,000 in a project called SuperFarmDAO. He then allegedly used his influencer status to inflate the value of the token SUPER before selling all his coins.
According to SomaXBT, MrBeast converted his SUPER tokens into Ether (ETH) and later moved the assets across multiple wallets. Through this operation, he reportedly managed to earn over 9 million dollars. MrBeast also allegedly promoted and quickly sold assets linked to projects like Polychain Monsters, STAK, VPP, and SHOPX.
Pump-and-Dumps Hurt the Crypto Sector
At the moment, it’s unclear whether MrBeast deliberately or unintentionally misrepresented his position on these projects. In his past statements, the YouTuber never promised long-term commitment. But still, I think this raises some serious questions about trust and transparency, don’t you?
That being said, the “MrBeast case” is part of a broader debate unfolding within the crypto community. Many in the industry believe that pump-and-dump schemes involving low-cap tokens are damaging to the market and its participants.
Mike Kremer, a Data Engineer at Messari, addressed the issue in a newsletter on August 19th:
“Insiders and cartels create tokens like ‘supercumrocket69,’ hype them up, and lure retail investors into buying these ‘revolutionary’ new assets. Once the price is inflated, the insiders dump their assets on the market, essentially extracting wealth from retail traders and leaving behind tokens with little to no value or real utility. The whole process is a zero-sum game where value isn’t just redistributed but also destroyed.“
Conclusion
Another well-known blockchain investigator, ZachXBT, recently called out the influencer and crypto trader Ansem for promoting low-cap tokens, contributing to a series of pump-and-dump memecoin schemes.
