06/02/2023 YouTuber baits MMA fighter into secretly shilling fake NFTs for $1K

Coffeezilla, a YouTuber and crypto investigator, revealed that American mixed martial artist Dillon Danis promoted a fake NFT project without disclosing that he received $1,000 for the advertisement.

YouTuber baits MMA fighter into secretly shilling fake NFTs for $1K

While the support from numerous A-list celebrities expedited thenonfungible token (NFT)boom of 2021 and 2022, somepromoted unvetted projects to fanswithout knowing if they were legitimate or scams. The practice retains its popularity in 2023 as markets recover.

In the promotion, Danis tweeted out a digital image with a website URL, which, according to Coffeezilla, “literally spells out S.C.A.M.” A further investigation from Cointelegraph shows that the website was newly created on Feb. 1, 2023 — an important clue to check when checking the credibility of new projects.

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Moreover, the website FAQ mentions that no investors can get hold of the “Sourz” NFTs, a crucial piece of information overlooked by the MMA fighter.

4e9878f1-b13c-4b6f-9a2c-2627092a5185.pngSourzNFT FAQ highlighting that no users can get the NFTs.Source: sourznft.com (CoffeeZilla)

A similar incident involving Kim Kardashian was flagged in June 2021 by the United States Securities and Exchange Commission (SEC) when shepromoted EthereumMax (EMAX) crypto token to her 330 million Instagramfollowers. According to the SEC, Kardashian violated the anti-touting provision of the Securities Act by failing to disclose the $250,000 she had received for the promotion.

However, Coffeezilla ensured that the users who fell for the scam NFT project were notified immediately. When usersclickthe “Mint Sourz” button (as shown in the above screenshot), they are redirected to a website that cautions against a possible scam.

7e8a5ba4-d9ca-472e-aff6-763c44333e2e.pngA webpage showcasing crypto projects previously promoted by MMA fighterDillon Danis. Source:sourznft.com (CoffeeZilla)

While Coffeezilla plans to share more information through a follow-up video, the incident is a strong reminder for influencers and investors to do their own research before promoting or investing in a project.

Little Shapes NFT, a project launched in Nov. 2021, was a “social experiment” designed to shed light on large-scale NFT bot network scams on Twitter, according to pseudonymous founder Atto.

“I needed a story that sells to make sure no one would ignore a story that hurts,” explained Atto when explaining his intent behind launching the NFT project.

Little Shapes was marketed as an upcoming avatar-style project with 4,444 NFTs that would allow owners to interact and change the artwork in real time.

Arts

https://cointelegraph.com/news/little-shapes-was-a-social-experiment-to-expose-nft-botnets-founder

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