ZachXBT Has Been Sued For Libel After Claiming That A Plaintiff Had Drained Funds From Their Project

Trezor CEO ZachXBT

ZachXBT, a blockchain investigator, was recently sued for libel by one of the people he had previously accused of fraud- according to a social media post from the 16th of June. MachiBigBrother, whose real name is Jeffrey Huang, accused the sleuth of damaging his reputation through multiple false allegations.

Huang also put out an announcement where he stated that he would be suing the on-chain sleuth. The sleuth then responded to this lawsuit by claiming that it was absolutely baseless and was an attempt to curb free speech. He also further pledged to fight back against it. Next, the sleuth put up his own post on Twitter, where he linked to the Medium post where he had been accused of being libelous. One of the accusations that Zach’s article put forth was that Huang had launched over 10 different pump-and-dump projects, which include Formosa Financial, a treasury management service. 

ZachXBT Has Had A Lawsuit Against Him 

Another claim made by ZachXBT was that George Hsieh, the co-founder of Formosa Financial had removed 11000 Ether from the treasury of this project. The article then stated that the co-founder had left the project subsequently, where he left other people to deal with the rest of the projects. According to the sleuth, the funds that were drained from the treasury were issued to numerous other wallet accounts just a few days later, which includes funds from the Ethereum Name Service domain Harrisonhuang.eth.

The lawsuit against ZachXBT claims that the sleuth had earned money from his donations due to his work as an on-chain sleuth. Huang mentioned that this was the main reason why the sleuth had published the article.