blockchainreporter.net
YouTube star Mr Beast, also known under the name Jimmy Donaldson, came under fire recently after reports emerged he invested in multiple ‘pump and dump’ cryptocurrencies. Such allegations emerged on social media, with several crypto analysts identifying Mr Beast as someone who manipulated tokens, promoting them to gain a better price to sell, making investors lose their money in the process.
MrBeast (@MrBeast), an influencer with 31.2M followers, has engaged in insider trading, misleading investors, and using his influence to pump tokens, only to dump them later.
— Lookonchain (@lookonchain) October 30, 2024
He has made over $23M in profits from various crypto projects:
$11.45M from $SUPER
$4.65M from $ERN… pic.twitter.com/gMtXVemCDE
Mr Beast’s Alleged Involvement in Various Tokens
According to the reports, Mr Beast’s wallet has benefited significantly from tokens.
- SUPER: After acquiring $100.000 of $SUPER associated with SuperFarm, he made over $7.5M by dumping the token after its price went up. Through different trades, he made a total of $11.45M.
- $ERN: Another enormous profit was made from $ERN (Ethernity Chain), where he made $4,650,000. Ethernity Chain is one project that targets licensed NFTs and celebrities as the main partnerships.
- $PMON: Mr Beast gained approximately $1.72M from $PMON (Polychain Monster), the platform that uses NFTs with collectible games based on Pokémon.
- $STAK: It was estimated that he generated $1.31 million from $STAK.
- $AIOZ: It was reported that Mr Beast made $1 Million from $AIOZ, a decentralized content delivery network that sought to optimize video streaming.
Investor Reactions and Ethical Concerns
Crypto investors and the YouTuber’s fans have reacted strongly, as many have felt betrayed by the content creator’s promotions. Nevertheless, some critics suggest that Mr Beast, who has cultivated an image of a generous businessman, should have been more careful endorsing such risky financial instruments. These controversies fit a trend of celebrities participating in cryptocurrency projects, resulting in accusations of market manipulation through their fans.
Legal & Ethical concerns
This scandal has drawn a lot of controversies regarding the roles of these influencers in financial markets, with some experts suggesting that there should be regulations not to allow influencers to exploit small investors. With increased scrutiny, the reputation of Mr Beast may be jeopardized, primarily if inquiries uncover intentional misconduct. Nevertheless, some fans suggested that he might have been unaware of the far-reaching consequences of his endorsements. Such allegations just underlined the risks of investing in businesses promoted by celebrities and hold potential consequences for influencer marketing in crypto.