Constructed On An $6 Million NFT Rip-off? AI Firm Accused Of Fraud By Web Investigator

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Constructed On An $6 Million NFT Rip-off? AI Firm Accused Of Fraud By Web Investigator

Youtuber and Web investigator Coffeezilla has known as out Synthetic Intelligence (AI) firm Rabbit for allegedly being constructed on a $6 million non-fungible token (NFT) rip-off. The corporate is accused of being answerable for the GAMA NFT Challenge “fraud” as a part of a historical past of lies.

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Down The NFT Fraud Rabbit Gap

Stephen Findeisen, higher generally known as Coffeezilla, revealed a YouTube video calling out Rabbit Inc. for being constructed on the stays of an alleged NFT fraud from 2021. The web investigator revealed that the corporate is seemingly attempting to cover its ties to the GAMA venture.

Coffeezilla unveiled the depth of the AI firm’s rabbit gap by claiming that, regardless of elevating over $30 million in enterprise capital (VC), Rabbit was once known as Cyber Manufacture Company.

In 2021, the corporate raised over $6 million for its “next-generation NFT Challenge GAMA.” The venture was described as a decentralized group “with the grand aim of sending 10,000 astronauts into house to gather extraterrestrial power.”

On the time, GAMA’s founder Jesse Lyu would make “wild guarantees,” claiming the NFTs have been simply the beginning. Based on the YouTube sleuth, Lyu declared they’d create “the first-ever carbon-negative cryptocurrency powered by our solar.”

The founder promised to construct a clear power grid by means of NFT gross sales owned by NFT patrons. The grid’s power could be used to mine GAMA tokens. Nevertheless, the tokens have been by no means launched, and the venture appeared to be deserted.

Its workforce replied to Coffeezilla’s request for remark, stating that GAMA was not abandoned however “open-sourced.” Furthermore, they claimed a token was by no means promised, as Lyu stated in 2021 that his phrases weren’t remaining. The workforce added that they dwell in a rustic that “values free speech.”

Nonetheless, the web investigator discovered that the “open-sourced” engine consistently crashed and was non-functional after a number of exams. He additionally highlighted that Lyu said in a number of discord messages that the venture’s cryptocurrency was a part of the roadmap.

Based mostly on this, Coffeezilla questioned the place the $6 million in funding went and whether or not Lyu’s new venture needs to be trusted.

One other Rabbit In The Hat?

GAMA’s founder has launched into a brand new venture unrelated to NFTs. His newest firm, Rabbit, focuses on AI know-how. The corporate went viral in early 2024, elevating $30 million in VC and promoting over $20 million in client merchandise.

Rabbit launched their AI private help system, Rabbit R1, on easter 2024. Nevertheless, the venture has acquired quite a lot of backlash for not residing as much as the hype and guarantees.

A number of tech reviewers concurred that R1 was a part of a development of releasing “unfinished” merchandise. Based on YouTuber Marques Brownlee, Rabbit’s product was “barely reviewable” and the head of “delivering barely completed merchandise to win a race.’”

Furthermore, founder and CTO of WeGPT, Josh Ollin, known as the venture a “rip-off” when R1 was introduced. He additionally identified on totally different events that the hype and interactions across the firm have been “pretend impressions” from bots.

Ollin known as Lyu an “NFT grifter” and stated that his previous habits affected the brand new venture because of the “shady insincere fraudulent enterprise practices on show (pretend engagement, pretend bot followers, pretend tech stack, overpriced vaporware).”

Coffeezilla said an analogous sentiment in his video:

So lots of the guarantees of Gama didn’t occur. That is related to the R1 not simply because this venture is constructed on the skeleton of that rip-off venture, it’s additionally as a result of the R1 is overhyped in an analogous method.

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As famous by the web sleuth, Lyu has diminished his hyperlinks to GAMA NFT, calling it a “enjoyable little venture” he was “concerned with” through the COVID-19 pandemic.

In the end, he considers it necessary for customers to know the corporate’s “historical past of abandoning traders like they did with GAMA NFT.”

NFT, TOTAL, crypto scam
Based on the weekly chart, the overall crypto market capitalization is at $2.51 trillion. Supply: TOTAL on TradingView

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