Crypto Heist Allegations: From Pro Gamer to Crypto Scammer
Unraveling a Web of Crypto Scams
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In a shocking revelation, renowned crypto investigator ZachXBT has accused an ex-gamer and cybersecurity expert of masterminding the theft of $3.5 million through numerous memecoin scams. The sleuth’s meticulous investigation has unearthed ties between this Australian individual and a series of high-profile cryptocurrency hacks.
The Transformation from Gaming to Scamming
On a recent Wednesday, ZachXBT laid bare claims that former Fortnite pro, known as Serpent, was involved in the orchestration and execution of multiple memecoin scams this year. Through a detailed thread, ZachXBT highlighted connections between wallets associated with Serpent and those implicated in fraudulent crypto activities.
The investigator’s findings suggest that some wallets linked to the former gamer had significant interactions with accounts involved in takeovers on platforms such as Instagram and X over the past months. Notable account breaches include those of McDonald’s and the Instagram account of Kabosu’s owner, alongside X accounts belonging to celebrities like Usher and Wiz Khalifa.
Alleged Hacks and Financial Gains
The scams resulted in unsuspecting investors losing $3.5 million, having invested in fraudulent memecoins promoted on Solana’s token launchpad, Pump.fun. An example is the fake GRIMACE token linked to McDonald’s, which achieved a market cap of $25 million before a rug pull sent $700,000 to two specific wallets. Further blockchain analysis revealed that these wallets were connected to other fraud-related addresses, funneling the illicit gains to a casino deposit address identified as Ecb5vs.
Serpent’s Dubious Ventures
A project named ERROR, launched in March 2024 by Serpent, was reportedly a rug pull that led to his banning from X. Despite this, 23 ETH was transferred from the ERROR deployer to instant exchanges, also ending up at the known casino address. ZachXBT’s insights reveal Serpent’s gambling habits, with evidence of significant monthly losses on platforms such as Roobet and Stake, with over $300,000 gambled in a single day.
Tracing Serpent’s Scandalous Past
A History of Allegations
The exposé further highlights Serpent’s past controversies, including his ousting from the esports organization Overtime in mid-2020 due to alleged cheating. His involvement in the NFT project DAPE, which ZachXBT claims was also a rug pull, adds to the shadowy narrative.
Despite his claims of being a cybersecurity analyst focusing on marketing and security, and developing an anti-spam tool called Sentinel, Serpent’s actions cast doubt on his integrity. Following the investigative report, Serpent has removed all content from his X profile and altered his account details, raising suspicions of further undiscovered account takeovers.
The Broader Impact on the Crypto Community
This unfolding saga has brought renewed scrutiny to the memecoin sector and Solana-based platforms like Pump.fun, criticized for enabling the misuse of live streaming features for promoting dubious tokens. The incident has sparked industry-wide discussions, with figures like Changpeng Zhao urging a shift of focus towards genuine blockchain innovation.
Despite the controversies, memecoins remain a favored choice among investors, with the market experiencing a bullish surge, driven by the ongoing memecoin craze and the allure of quick financial gains.
As cryptocurrency continues to evolve, the community must remain vigilant against such scams to protect both new and seasoned investors.
