MrBeast Accused of $23 Million Cryptocurrency Fraud: Insider Trading and Misleading Investors Under Scrutiny
The well-known YouTube personality, MrBeast, is now facing serious allegations tied to a $23 million cryptocurrency fraud scheme. Known for his philanthropic stunts and large-scale challenges, MrBeast is alleged to have engaged in insider trading, deceived investors, and used his influence to promote select tokens. These accusations come from Kasper Vandeloock, CEO of Musca Capital Trader, alongside a group of researchers who assert that the American YouTuber’s cryptocurrency ventures were far from ethical.
The team presented an extensive analysis of MrBeast's crypto dealings, revealing over 50 digital wallets connected to him. Their findings suggest that MrBeast made substantial profits from projects like SuperVerse, Ethernity, AIOZ, Refinable, SHOPX, XCAD, Jigstack, Protocol Monster Labs, Boson Protocol, and other tokens. These activities, allegedly involving market manipulation and insider knowledge, have brought MrBeast under intense scrutiny.
Profits and Manipulation: How SuperVerse Brought in Over $11 Million
One standout case involves the SuperVerse project, where tokens were sold at a pre-launch price of $0.02. Following its launch, SuperVerse’s token value skyrocketed by 50 times, which thrilled early investors with the promise of substantial returns. However, instead of allowing these investors to reap benefits, they reportedly received their investments back through legal loopholes employed by MrBeast and other individuals.
According to experts, this strategy enabled MrBeast to sell tokens to his followers at a much higher price. This approach yielded significant profits—analysts estimate that MrBeast earned approximately $11.4 million from SuperVerse alone. Similar techniques, involving early acquisition and strategic promotion, appear to have been employed in other projects as well. By leveraging his large social media following, MrBeast allegedly gained tokens in exchange for promoting these projects on his platforms, generating millions in profit.
The PMON and STND Cases: Insider Information Leads to Strategic Profits
The analysis also points to the PMON token as a case of potential insider trading. Researchers found that MrBeast acquired tokens for PMON based on insider knowledge. Although the token’s value plummeted by 99.64%, MrBeast managed to sell his holdings in time to net over $1.7 million in profit.
Similarly, the Standard Protocol’s token (STND) experienced a staggering 99.5% drop from its all-time high. Despite this crash, MrBeast reportedly purchased $89,000 worth of STND tokens and earned a net profit exceeding $131,000 by selling at the right moment. These cases reveal a pattern where MrBeast allegedly leveraged market knowledge and timing to maximize returns while shielding himself from major losses.
MrBeast’s Brand as a Marketing Tool and the Crypto Boom of 2021
The report indicates that MrBeast’s brand image played a crucial role in marketing certain crypto projects. In some cases, he invested in projects where his brand was used for promotion, although he did not directly profit from these endeavors. Researchers highlight that while not all ventures resulted in direct profits, MrBeast's involvement brought substantial visibility to these projects, potentially influencing their market performance.
Most of MrBeast’s substantial crypto profits were reportedly generated in 2021, a year of immense growth and volatility in the cryptocurrency market. The analysis sheds light on his ability to maneuver within the crypto space, benefiting from a mix of early investment, timely sales, and strategic brand utilization.
This case follows previous reports where former executives, such as the CEO of ACCE, were accused of cryptocurrency fraud amounting to $1.47 million. As the crypto world faces growing scrutiny, MrBeast’s case has become a focal point, sparking discussions on influencer accountability and the ethics of promotional strategies in high-risk investments.