MrBeast’s cryptocurrency wallet is linked to cashing in on at least $13M worth of controversial pump-and-dump trades.
In 2021, one of YouTube’s most successful influencers, MrBeast, reportedly purchased several cryptocurrency tokens for $250,000.
According to blockchain analytics firm Arkham Intelligence, MrBeast’s cryptocurrency wallet was linked to investments in Polkamon (PMON) and SuperVerse (SUPER).
Shortly after purchasing the tokens, MrBeast sold them and cashed in on a reported $13M.
One of the trades made with the YouTuber’s crypto wallet was a $25K investment in the Polkamon meme coin. In return, he was able to trade his exchange tokens for a reported $1.3M.
Though the YouTuber hasn’t confirmed that he was behind the trades, at the time of buying the coins, he tweeted about one of his investments.
“I bought this one,” he said in response to another buyer’s meme coin purchase.
Mr. Beast doxxed himself back in 2021 https://t.co/hU7JTe6KVV pic.twitter.com/xx8LaUDkni
— Conor (@jconorgrogan) June 27, 2023
His profits have raised concern, though, as the investment companies his wallet is linked to have reportedly been linked to pump-and-dump trade schemes.
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A “pump-and-dump” scheme is when an influential person in the media invests in a token and heavily promotes it. In turn, the price of the token increases as more buyers invest. That way, the influencer is able to dump their investments for a significant profit.
Though some buyers like MrBeast might make large profits from this method, it often leads to the token’s price collapsing, which impacts unsuspecting investors.
Sophie Lee, a cryptocurrency strategist, commented on influencers taking advantage of cryptocurrency trades, adding that stakeholders advocate against the controversial pump-and-dump trading method.
“The crypto market thrives on transparency and trust,” Lee said. “Allegations involving prominent figures can have a ripple effect, influencing market dynamics and regulatory approaches. It’s crucial for all stakeholders to address these concerns proactively.”
According to several studies, MrBeast’s net worth could be anywhere between $700 million to $1 billion. Though the trading methods linked to his crypto wallet might be controversial, the YouTuber has used his fortune to help others.
In July, MrBeast made 100 houses for citizens living in El Salvador and Jamaica. He’s also hosted several games with substantial winnings for its everyday participants.