A class action lawsuit was filed against YouTube influencer Logan Paul and his associates over the failed crypto project CryptoZoo, according to a Feb. 2 court filing.
A Texas resident Don Holland filed the lawsuit and alleged that the defendants executed a “rug pull.” CryptoZoo was promoted via Paul’s online platforms, convincing thousands of people to purchase the product, according to Holland.
Paul’s associates included in the lawsuit were Danielle Strobel, Jeff Levin, Ebbie Ibanez, Jake Greenbaum, and Ophir Bentov.
The lawsuit alleges CryptoZoo never existed
Holland said he knew his money was likely lost after Logan Paul announced another NFT project and started ignoring CryptoZoo. He added, “CryptoZoo was never released as advertised, and the value of the Zoo Tokens and CryptoZoo NFTs plummeted.”
The filing stated that the defendants manipulated the digital currency market for Zoo Tokens to their advantage.
“As part of Defendants’ NFT scheme, Defendants marketed CZ NFTs to purchasers by falsely claiming that, in exchange for transferring cryptocurrency to…