Logan Paul Has a Plan to Revive CryptoZoo
For disgruntled investors who want to leave the CryptoZoo project, Paul wants to pay out 1,000 ETH by burning their NFT tokens.
YouTuber Logan Paul has unveiled a $1.5 million recovery plan for all the people who invested in his failed NFT game, CryptoZoo.
On January 13, Paul shared a video on Twitter explaining his plans. In this announcement, he also reiterated that he no longer plans to sue YouTuber Coffeezilla for defamation. The latter released a series of videos earlier this year in which he lashed out at Paul's project.
Paul stressed that instead of suing, he will focus on fixing CryptoZoo and fulfilling the promises he made to fans and investors.
"The fact remains that suing Coffeezilla will do nothing to help CryptoZoo's holders, so I need to focus my attention where it belongs, on the fans and my backers."
According to Paul, the recovery plan consists of three phases
First and foremost, Paul and his manager, Jeff Levin (co-founder of CryptoZoo), will burn their shares in the ZOO token in order to "have no financial gain in the game" and supposedly make the token more valuable.
In the second phase, Paul is said to be personally donating 1,000 ether as part of a rewards program that will allow "disappointed" investors to burn their NFTs in order to recoup the initial price of 0.1 ETH per coin ($150).
It's worth noting that when Paul posted a tweet saying he was putting 1.3 million USD into the rewards program, those 1,000 ETH were worth exactly that amount. However, the price of ETH has been rising strongly since then, up 10.8% in the last 24 hours, and is now hovering at around $1,561 at the time of writing.
The third and final phase that Paul outlined is to "understandably finish and release the game" as described in the whitepaper. The game is to include the breeding of NFT animals for which players can earn Zoo tokens and thus make money.
"To say I'm disappointed with how this has been handled internally is an understatement. There is a full internal investigation underway along with an audit and we intend to take all legal action against whoever needs to be held accountable."
Paul added "If any money is recovered in this process, it will go directly into the community".
The Twitter community has reacted to the post in different ways, with some praising Paul for facing up to the issue, while others continue to criticize the project.
User @tharaxis wrote that while the criticism of Paul and CryptoZoo is justified, "it all seems very positive and while it took some time, it definitely deserves a 'good job'. Let's hope it stays that way."
Genius Group founder and CEO, Roger Hamilton, wrote, "I'm sorry' and compensation to those who lost money. How great if all CoffeeZilla investigations turned out this way."
On the other hand, popular NFT and crypto trader @crypto_bitlord7 wrote, "But let's be honest. You didn't care until it started affecting your reputation.
"Then you threatened to sue. And when you realized you were getting away with it, you started trying to ingratiate yourself with people. You're about as phony as it gets. The real Larp."
Source: cointelegraph.com
analyst opinion
Jakub Odvářka
YouTuber Logan Paul has unveiled a $1.5 million recovery plan for all the people who invested in his failed NFT game, CryptoZoo.
On January 13, Paul shared a video on Twitter explaining his plans. In this announcement, he also reiterated that he no longer plans to sue YouTuber Coffeezilla for defamation. The latter released a series of videos earlier this year in which he lashed out at Paul's project.
Paul stressed that instead of suing, he will focus on fixing CryptoZoo and fulfilling the promises he made to fans and investors.
"The fact remains that suing Coffeezilla will do nothing to help CryptoZoo's holders, so I need to focus my attention where it belongs, on the fans and my backers."
According to Paul, the recovery plan consists of three phases
First and foremost, Paul and his manager, Jeff Levin (co-founder of CryptoZoo), will burn their shares in the ZOO token in order to "have no financial gain in the game" and supposedly make the token more valuable.
In the second phase, Paul is said to be personally donating 1,000 ether as part of a rewards program that will allow "disappointed" investors to burn their NFTs in order to recoup the initial price of 0.1 ETH per coin ($150).
It's worth noting that when Paul posted a tweet saying he was putting 1.3 million USD into the rewards program, those 1,000 ETH were worth exactly that amount. However, the price of ETH has been rising strongly since then, up 10.8% in the last 24 hours, and is now hovering at around $1,561 at the time of writing.
The third and final phase that Paul outlined is to "understandably finish and release the game" as described in the whitepaper. The game is to include the breeding of NFT animals for which players can earn Zoo tokens and thus make money.
"To say I'm disappointed with how this has been handled internally is an understatement. There is a full internal investigation underway along with an audit and we intend to take all legal action against whoever needs to be held accountable."
Paul added "If any money is recovered in this process, it will go directly into the community".
The Twitter community has reacted to the post in different ways, with some praising Paul for facing up to the issue, while others continue to criticize the project.
User @tharaxis wrote that while the criticism of Paul and CryptoZoo is justified, "it all seems very positive and while it took some time, it definitely deserves a 'good job'. Let's hope it stays that way."
Genius Group founder and CEO, Roger Hamilton, wrote, "I'm sorry' and compensation to those who lost money. How great if all CoffeeZilla investigations turned out this way."
On the other hand, popular NFT and crypto trader @crypto_bitlord7 wrote, "But let's be honest. You didn't care until it started affecting your reputation.
"Then you threatened to sue. And when you realized you were getting away with it, you started trying to ingratiate yourself with people. You're about as phony as it gets. The real Larp."
Source: cointelegraph.com
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