Logan Paul accused of misleading fans over cryptocurrency investments

Logan Paul built a worldwide following as an internet celebrity by uploading short video clips, first to the now-closed platform Vine, and then on YouTube.

About three years ago, Paul’s videos began mentioning cryptocurrency (crypto, as it is commonly known) more and more.

Crypto is a form of digital money that uses secure technology to work, without the need for a central bank.

In 2021, Paul promoted a series of extremely high-risk crypto tokens called “meme coins”.

These are usually inspired by internet jokes or memes and are supported by online communities. Meme coins have no other real purpose other than to be traded and, since they have no intrinsic worth, their value can – and often does – drop to zero.

Paul extolled the virtues of an Elon Musk-themed meme coin known as Elongate. “Elongate made me rich. Elon baby let’s go!” Paul announced in a video clip to Maverick Club, his subscription-only fan club.

Following this namecheck, the price of Elongate rose by over 6,000% to an all-time high. It then remained at that price for a few hours before it crashed.

We cannot be sure of Logan Paul’s intentions when he released his clip. However, it seems likely that his mention of Elongate affected its price.

Tech journalist Will Gotsegen says crypto is a market driven to some extent by social media and influencers: “A big guy with a lot of influence… someone like Logan Paul, buys a tonne of crypto and tells their followers about it. They’re going to buy it too.”