Nelk Boys, a gaggle of YouTube content material creators, is going through a lawsuit over claims that they did not ship on guarantees tied to their non-fungible token (NFT) venture, which raised $23 million.
The lawsuit, filed on January 29 in a California federal court docket, accuses them of deceptive patrons about the advantages of their MetaCard NFTs.
Trenton Smith, who introduced the lawsuit, described the group as “snake-oil salesmen masquerading as entrepreneurs”. He alleges that whereas some small perks have been offered, the enterprise alternatives and funding advantages they promoted by no means materialized.
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The lawsuit states that Nelk Boys launched 10,000 MetaCard NFTs in January 2022, which offered out inside minutes at $2,300 every. Patrons have been led to imagine they’d acquire entry to unique occasions, together with a meetup with rapper Snoop Dogg, reductions on branded merchandise, and a $250,000 giveaway.
Nevertheless, Smith claims that NFT holders in the end acquired little to no worth from their purchases. In accordance with the lawsuit, the NFTs “held no intrinsic worth” past the promised perks, which have been both minimal or by no means delivered.
Along with monetary losses, Smith argues that Nelk Boys additionally failed to offer different promised advantages, akin to entry to unique content material, particular meet-ups, and involvement in future tasks. He’s searching for compensation, compensation of income constituted of the NFT gross sales, and authorized charges.
At the moment, on the NFT market OpenSea, the bottom listed worth for a MetaCard is 0.034 Ethereum
In the meantime, a promoter of the crypto scheme Forcount was not too long ago sentenced to 2.5 years in jail. How did the case go? Learn the complete story.
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