June 7, 2023

American rapper Soulja Boy criticized for promoting fraudulent NFTs

Article reading time:
2 minutes.

American rapper Soulja Boy criticized for promoting fraudulent NFTs

A user under the pseudonym ZachXBT, who studies cryptocurrency schemes, accused the American rapper Soulja Boy of promoting fraudulent NFT projects.

As the “online detective” wrote, the musician spent 73promotions and 16 NFT giveaways on Twitter. Among them were RapDoge, Orion, The Life Token, SaferMars, Flokinomics and ParrotsDAO tokens. Many of these projects turned out to be fraudulent, the user claims. Considering that the rapper is a US resident and promotes collectible tokens among local residents, he is obliged to comply with the recommendations of the US Federal Trade Commission (FTC), but ignores them.

ZachXBT mentioned the US Securities and Exchange Commission (SEC) lawsuit against Tron founder Justin Sun for promoting TRX, which also featured Soulja Boy.

“Recently, influencers have been praising Soulja Boy for promoting new NFT projects. In fact, he is one of the most unscrupulous promoters in the crypto space, ”ZachXBT is outraged.

The user traced that in 2021 the musicianpublished a tweet calling for "pumping up" RapDoge tokens up to $0.000001. Later, the rapper promoted tokens and other projects, but deleted tweets about them when the startups “curled up”. ZachXBT noted that in 2021, Soulja Boy attempted to create 9 NFT collections of their own, however their websites are now down.

In April 2023, SouljaBoy released 7collectible tokens, some of which featured the Ferrari and Nike logos, the user claims. Within hours, they were blocked from the OpenSea site for violating intellectual property rights. According to ZachXBT, the rapper continued to create new NFTs while ignoring buyers of previous collections.

According to Morning Consult, about 45%investors are ready to buy crypto assets advertised by famous personalities. Last year, advocacy group Truth in Advertising criticized 19 celebrities for promoting NFTs because their actions put investors at risk.