A proposed class action complaint accused YouTuber Logan Paul and other players in the online game project CryptoZoo, alleging that they stole cryptocurrency valued at millions of dollars from users through a "fraudulent venture." 

Logan Paul's CryptoZoo turned out to be somewhat of a hoax, according to Stephen "Coffeezilla" Findeisen, a YouTuber who investigates fraudsters and bogus gurus in the cryptocurrency industry. Because Paul's team proactively sold the in-game currency, zoo coins before anyone else. CryptoZoo, a blockchain game that was intended to function as passive income for Paul's enthusiastic fans and early investors, really ended up being a rug pull for just about everyone involved. According to Coffeezilla's multi-part investigative series, other people interested in the "game" lost hundreds or even thousands of dollars, except for some of the people employed to work on CryptoZoo, who allegedly profited thousands of dollars. 

Ellzey & Associates and Attorney Tom and Associates, a law practice managed by YouTube star Tom Kherkher, also known as Attorney Tom, filed the lawsuit in the Western District of Texas. According to the report, CryptoZoo was a "rug pull," a fraud in which the creators of an NFT make a long list of promises before giving up and running off with the money. 

CryptoZoo was introduced by Paul in 2021. In a virtual game, participants could acquire bitcoin that let them purchase eggs. Then, the eggs were meant to hatch, allowing players to raise NFTs by nurturing the animals. These species could be crossed to produce hybrid beings. Selling their animals in exchange for cryptocurrency could result in gains for the holders. Paul marketed the business on his social media platforms and made lofty promises for it. 

The plaintiff, a Texas police officer who put around $3,000 from his own money in CryptoZoo in the expectation that it would produce large profits, filed the action in the city of Austin. For "conspiracy to commit fraud," "fraudulent misrepresentation," "negligence," "unjust enrichment," and other offences, the plaintiff is asking for more than $75,000 in damages. Paul and former head developer Eddie Ibanez were two of the individuals mentioned by the lawsuit as having contributed to the game's design. In the end, the plaintiff demands compensation for a wide range of losses, including legal fees, litigation expenses, civil penalties, and mental anguish. 

Attorney Jeffrey Neiman condemned the lawsuit on behalf of Paul. The purpose of this irresponsible civil action, according to Neiman, was to garner attention rather than to be legally sound. It is also gravely faulty. They said that, they are confident that after being evaluated by a judge, this case will be swiftly dismissed