MrBeast, one of the biggest names on YouTube, is under scrutiny following allegations of profiting over $10 million from a cryptocurrency pump and dump scheme.
With reports pointing to his involvement in promoting low-market-cap tokens that later lost over 90% of their value, the controversy raises serious questions about the ethical role of influencers in the volatile cryptocurrency space.
As investors consider the risks, the story highlights the importance of thorough research beyond celebrity endorsements in crypto investments.
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Did MrBeast Profit Over $10 Million from Pump and Dump?
Popular YouTuber MrBeast (real name: Jimmy Donaldson), who boasts over 320 million subscribers, is facing backlash over allegations that he profited more than $10 million through a cryptocurrency pump and dump scheme.
A "pump and dump" is a fraudulent practice where the price of an asset is artificially inflated through misleading information, followed by mass selling to profit from the inflated price. This practice has been widely reported in the cryptocurrency industry.
According to several reports, Jimmy Donaldson allegedly backed several low-market-cap cryptocurrencies, making massive profits. It is said that many of these tokens lost over 90% of their value after MrBeast distanced himself from the projects.
Some of the tokens mentioned in connection to these allegations include:
- $SUPER
- $PMON
- $SHOPX
Uncertainty Surrounding Jimmy Donaldson’s Direct Involvement
The wallet address at the center of this investigation was labeled as “MrBeast” on the blockchain analysis platform "Arkham." Additionally, MrBeast himself has publicly acknowledged using this wallet for purchasing NFTs.
SomaXBT’s investigative report delves deeper into past transactions made through this wallet. Notably, it mentions that MrBeast commented with “👀” on a now-deleted post by @SuperFarmDAO (now rebranded as @SuperVerse), with screenshots provided as evidence.
However, there is still uncertainty surrounding whether the transactions linked to this wallet were conducted by Jimmy Donaldson himself. The reports also suggest the possibility that the trades could have been made by a friend, producer, or even an unrelated third party.
As of now, neither Jimmy Donaldson nor the MrBeast team has issued an official statement regarding these accusations. Although the details remain unclear, this controversy highlights the risks associated with tokens promoted by influencers, a recurring issue in the cryptocurrency world.
The cryptocurrency market tends to see an increase in fraudulent projects when prices surge, making it crucial for investors to carefully evaluate projects based on their credibility, technology, and long-term potential, rather than simply relying on celebrity endorsements.
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