Blockchain investigator ZachXBT’s research has played a crucial role in a class-action lawsuit filed in Canada against Boneheads, an NFT project accused of orchestrating a rug pull worth $3.1 million. ZachXBT took to Twitter on July 7 to shed light on the lawsuit, reaffirming allegations that the Boneheads team swiftly vanished after spending the minted funds on luxury goods and Bored Ape Yacht Club (BAYC) NFTs, without fulfilling their promised roadmap.
The lawsuit was initiated in mid-June and submitted to the Ontario Superior Court of Justice. The Boneheads team is facing charges of breaching contracts with investors by failing to deliver on their outlined roadmap, misappropriating funds, engaging in fraudulent and negligent misrepresentation, and various other accusations. The statement of claim, dated June 19, states that not a single promise made in the Boneheads project roadmap has been fulfilled. Purchasers of Boneheads NFTs have been deprived of NFT airdrops, tokens, physical collectibles, marketplace access, forging capabilities, avatar applications, voting rights, giveaways, and numerous other commitments.
Bonehead NFTs scandal
The court filing specifically mentions ZachXBT’s investigation into the Boneheads project, which was shared on Twitter in July 2022 along with subsequent posts in the following month. In his initial thread, ZachXBT detailed the alleged misappropriation of funds intended to support the Boneheads roadmap. He also exposed the key individuals involved in the project and highlighted their suspicious behavior as he tracked their actions. Despite months of social media inactivity, the Boneheads team swiftly responded to ZachXBT’s tweets, claiming that the project was not a scam but a deliberately slow creative process. However, their announcement of a new collection called “21” to be released in August 2022 never materialized.
ZachXBT’s investigative work has proven instrumental in building cases against fraudulent actors within the NFT space on multiple occasions. In February, as a result of his extensive investigation, the FBI seized 86.5 Ether and $100,000 worth of NFTs from a phishing scammer. Furthermore, in October 2022, ZachXBT’s research was cited by France’s national cyber unit in capturing and charging a group of suspected phishing scammers who had allegedly stolen NFTs valued at $2.5 million.
This recent lawsuit and the incorporation of ZachXBT’s findings highlight the growing importance of thorough investigations and due diligence within the NFT ecosystem. It underscores the need for increased scrutiny and accountability to protect investors and maintain the integrity of the space. As fraudulent activities continue to plague the NFT market, the expertise of individuals like ZachXBT becomes invaluable in identifying and combating these malicious actors.
