ZachXBT Accuses Former Professional Fortnite Player of Involvement in $3.5M Memecoin Scam

Blockchain investigator ZachXBT has accused an Australian former professional Fortnite player, known as Serpent, of orchestrating memecoin scams that allegedly stole over $3.5 million.

In a detailed thread on November 27, ZachXBT connected Serpent to several scams involving hacked social media accounts and fraudulent cryptocurrency projects.

Serpent, who was expelled from the esports organization “Overtime” in 2020 for alleged cheating, has also presented himself as a blockchain security analyst and founder of the threat mitigation system Sentinel.

Walllets Linked to Serpent Tied to Pump.fun Scams

According to the findings, wallet addresses linked to Serpent were directly tied to the Pump.fun memecoin scams, which targeted hacked accounts on platforms such as X and Instagram.

High-profile account takeovers allegedly linked to Serpent include those of McDonald’s, Usher, Wiz Khalifa, and other public figures.

ZachXBT further alleged that Serpent misused funds obtained from these scams by gambling at online casinos.

The investigator shared recordings showing deposit and withdrawal addresses with clear ties to accounts involved in the scams.

“Serpent gambles millions of dollars on Roobet, Stake, BC Game, and Shuffle each month frequently screensharing with friends on Discord,” ZachXBT wrote on X.

“I obtained recordings of him gambling where he inadvertently leaked multiple deposit and withdrawal addresses.”

6/ Serpent gambles millions of dollars on Roobet, Stake, BC Game, and Shuffle each month frequently screensharing with friends on Discord.

I obtained recordings of him gambling where he inadvertently leaked multiple deposit and withdrawal addresses.

Discord ID:… pic.twitter.com/nY8GGT6dER

— ZachXBT (@zachxbt) November 27, 2024

Serpent’s purported involvement extended to his own project, ERROR, which ZachXBT labeled a “rug pull.”

The project’s wallet address was reportedly connected to numerous compromised accounts.

Following the exposure, Serpent began deleting posts from his X account, further raising suspicions.

In a now-suspended X account, Serpent had previously presented himself as a cybersecurity advocate, publishing guides on avoiding scams and warning users about phishing and fake airdrops.

In 2022, he raised concerns about vulnerabilities in Google ads, according to blockchain security firm SlowMist.

Phishing Attacks and Scams Remain Major Threat

Phishing attacks and crypto scams remain a major issue for crypto users, resulting in substantial losses.

Last week, U.S. federal prosecutors charged five individuals in connection with a sophisticated hacking operation that allegedly stole $11 million in crypto and sensitive data from individuals and companies across multiple countries.

According to court filings, the alleged hackers targeted at least 29 individuals, with one victim losing over $6.3 million in cryptocurrency after their email and digital wallets were compromised.

Prosecutors claim the group also targeted 45 companies in the U.S., Canada, India, and the United Kingdom.

Among their targets was a U.S.-based cryptocurrency exchange whose employees were tricked by fake text messages into divulging sensitive credentials.

These phishing texts warned employees that their accounts would be deactivated unless they followed embedded links.

As reported, the Department of Homeland Security (DHS) has disrupted hundreds of crypto scam incidents, reclaiming billions in extorted cryptocurrency since 2021.

DHS investigators have intercepted 537 ransomware attacks before they could cause widespread damage.

The effort, led by the Homeland Security Investigations (HSI) Cyber Crimes Center, has proven particularly vital for the protection of U.S. government agencies, which have been the primary targets of these cyber threats.