$1B FTX Lawsuit: Crypto Twitter Calls Out BitBoy and Others

BitBoy takes legal action against him as an opportunity to prove his innocence, but most of Twitter begs to differ.

BitBoy is shocked as 1 billion dollars in cash pile up to drawn the famous YouTuber in lawsuits.
  • Group of crypto investors filed a class-action lawsuit against 9 influencers.
  • The lawsuit seeks $1 billion in damages for endorsing FTX to millions of people.
  • Ben Armstrong claims to be “excited about the FTX lawsuit;” receives backlash on Twitter.

The aftershocks of the most violent earthquake in crypto’s history are coming back to haunt the most popular crypto influencers, who were paid by the corrupt FTX boss Sam Bankman-Fried to endorse FTX (FTT) token, among other FTX-related cryptocurrencies and products.

In response to the legal action taken against Ben ‘BitBoy’ Armstrong, the famous crypto influencer declared: “We will finally be able to prove unequivocally that I never had dealings with FTX.” However, this is not accurate, as the crypto YouTuber actively endorsed FTX (FTT) token just 9 months ago as one of the “greatest long term holds for 2022.”

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Naturally, the video has been deleted by now, but multiple crypto enthusiasts posted screenshots of the specific video where it clearly states the exact opposite of BitBoy’s current claims.

BitBoy Drops SHIB Identity Reveal Video

Yesterday, the famous crypto YouTuber lashed out on Shytoshi Kusama, the main developer of Shiba Inu (SHIB), after allegations surfaced that Shibarium’s Beta code might be copied and pasted from another, less-known blockchain. Shortly after, BitBoy uttered “Wait until I dot the founder of SHIB, Heck maybe tomorrow,” before the allegations were denied by Rinia’s chief dev a few hours later. 

Furthermore, in the early hours of Friday morning, BitBoy dropped a new 20-minute video in his YouTube channel in regards to the development of Shiba Inu’s Ecosystem. Digging deeper into the early days of Shiba Inu, the YouTuber still didn’t answer the question of who Shytoshi Kusama is.

Crypto Twitter is having a dig at BitBoy

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On the other hand, the class-action lawsuit filed by Edwin Garrison and Gregg Podalsky for the United States District Court in Miami, Florida also tackles other crypto influencers like lawyer Graham Stephan, Kevin Paffrath, Erika Kullber, and the talent agency Creators Agency LLC.

Ultimately, the outcome of this class-action lawsuit could be a game changer for the way crypto is regulated, at least in the United States. While crypto lawyer and fellow YouTuber Legal Eagle indicated that this lawsuit is “a copy paste job of the lawsuit against Tom Brady” it can still set a precedent for stricter regulation in regard to crypto promotion on social media.

On the Flipside

  • The well-known YouTuber Ben “BitBoy” Armstrong delivered on his promise to make a video revealing Shiba Inu leader’s identity, but mixed up Shytoshi Kusama with Ryoshi, who left the project over a year ago regardless.

Why You Should Care

BitBoy is one of the most famous crypto YouTubers with over 1 million subscribers, while the FTX fiasco is deemed “the largest financial fraud in US history,” according to the court documents.

Get the crypto lowdown with DailyCoin’s latest news:

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This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Tadas Klimasevskis

Tadas Klimaševskis is a Lithuanian journalist at DailyCoin, specializing in covering the lighter side of the crypto industry such as memecoins and pop culture in the metaverse. He has experience as a music artist, English language teacher, and freelance writer, and uses his creative writing skills to summarize valuable information in his work. He is also a strong believer in the potential of blockchain and spends his free time listening to music, traveling, and watching basketball games.