Michaela
Blockchain investigator ZachXBT has raised concerns over the WEB3 token presale, linking it to individuals reportedly involved in the 2022 Squiggles (non-fungible token) NFT rug pull and the controversial promoter Raichu, both associated with multiple failed projects and significant investor losses.
“Community alert: [WEB3] is linked to a team member of the Squiggles NFT rug and Raichu who I previously [posted] about,” the blockchain investigator wrote in a post on X. ZachXBT’s X post was a direct response to WEB3’s announcement of its token presale earlier this week.
WEB3’s announcement asked users to send Solana (SOL) to a designated wallet in exchange for $WEB3 tokens, which would be airdropped to contributors later. The project explained that the token price would be calculated by dividing the total SOL raised by the token supply, warned that the presale could close at any moment, and advised participants not to use exchange wallets for contributions.
The WEB3 presale concluded just over 24 hours after it began, with the project confirming that any funds sent to the presale wallet after the deadline would be refunded and not counted toward contributions.
Past allegations surrounding the 2022 Squiggles NFT scandal have resurfaced as scrutiny mounts on related projects. Investigations by YouTuber Coffeezilla and others suggested the founders acted as frontmen for a group called “NFT Factory LA,” linked to multiple failed NFT drops, including League of Sacred Devils, Lucky Buddhas, and Sinful Souls.
Reporting indicated the team allegedly used “shadow wallets” to manipulate sales volume, with a single account spending over 800 Ethereum (ETH), more than $2 million, across hundreds of wallets that each purchased Squiggles NFTs before relisting them on secondary markets. At its peak, the project had drawn over 230,000 Twitter followers and 360,000 Discord members ahead of the anticipated NFT drop.
Additionally, the same group of individuals has also been linked to Raichu, also known as Ryan, a promoter known for connecting NFT projects with celebrities and influencers. This connection has fueled skepticism within the online crypto community following WEB3’s presale announcement.
As the WEB3 presale saga unfolds, it spotlights the growing need for due diligence and caution in the fast-moving world of digital assets. Investors and enthusiasts alike are reminded that while innovation in crypto offers exciting opportunities, vigilance remains key to navigating this evolving landscape safely.
Read More
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
