YouTuber Coffeezilla has been investigating Logan Paul following the controversial streamer's NFT game CyrptoZoo supposedly scamming people out of millions of dollars. Paul has offered to refund people $1.3 million, but that only helps egg holders, not everyone else who bought in-game currency. Coffeezilla said in a recent video, "Unfortunately, the scam was much bigger than 1.3 million dollars so the fact is, most victims are not going to be made whole by this plan."
As reported by Dexerto, Coffeezilla released a new video in response to Paul's refund plan. Paul hasn't even called this a refund, instead referring to it as a "rewards program for disappointed players," likely trying to save face and avoid a lawsuit by avoiding admitting any wrongdoing.
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Paul states in a video posted to Twitter and his secondary YouTube channel that players can burn (refund) their eggs and creatures for the original minted price in Ethereum, but due to the recent crypto crash, this is a much lower dollar value now than when players bought in, meaning they're still losing money.
Coffeezilla explains, "Crypto has crashed. A lot. Even though people spent 2.5 million on these eggs, in order to refund all these holders at the mint price it only costs 1.3 million dollars of today’s money."
Paul also states that there will be a full internal investigation and audit and legal action will be taken against "whoever needs to be held accountable."
Coffeezilla notes that this response is far better than previous ones from Paul, but that it still isn't perfect. According to Coffeezilla's investigation, $7.7 million has been stolen from players, and this refund- sorry, rewards program for disappointed players, won't be helping them all.
"This refund does nothing for those victims. It doesn’t even apply to the holder of Zoo coins at all, you get nothing if you bought in-game currency. This refund only applies to current egg holders."
This isn't financial advice, but it's probably not a great idea to dump money into influencer NFT games, given the difficulties and volatility associated with both crypto and video games.