Creator of the Evolved Apes NFTs absconds with $2.7 million

midian182

Posts: 7,794   +80
Staff member
Facepalm: Like cryptocurrencies, there are inherent risks involved with non-fungible tokens (NFT), including possible scams. It appears that investors in the Evolved Apes project have found that out the hard way after its creator vanished with 798 Ether, worth around $2.7 million, taken from its funds.

Evolved Apes is a collection of 10,000 NFTs for sale on marketplace OpenSea. The pitch was that, in addition to owning the NFTs, they could be used in an Evolved Apes fighting game in which owners battle each other with winners taking Ethereum rewards.

More than 4,000 of the NFTs have been sold since first going on sale over a week ago, writes Vice. But the project's creator, the aptly named Evil Ape, has suddenly vanished along with the official Twitter account and website. They also took 798 Ether with them, siphoned from investors' money. It came from sale of the NFTs and commissions on the secondary market and was supposed to be used for development and marketing of the project.

Things started looking suspicious in September: several project leaders were inexplicably absent and there were some announcements that Vice describes as "unprofessional." Community member Mike_Cryptobull, who has spent over $10,000 on 20 Evolved Ape NFTs, was asked by backers to look into the situation.

"What has happened is that Evil Ape has washed his hands of the project taking away the wallet with all the ETH from minting that was to be used for everything, from paying the artist, paying out cash giveaways, paying for marketing, paying for rarity tools, developing the game and everything else in between," he wrote in his report. "This wallet is also the wallet connected to receiving the 4% royalties from resales. Evil Ape is also holding a number of the 1/1 Evolved Ape NFT'S that were intended for giveaways."

The Evolved Apes community has vowed to carry on with a new project called Fight Back Apes. Evolved Apes holders would be automatically approved for a Fight Back Apes token linked with the art from the old project.

Despite everything that has happened, more than 660 Evolved Ape NFT's, worth around 16.7 ETH ($59,700), have sold since Evil Ape's disappearing act, each sale earning them 4% in royalties. Attempts to contact OpenSea so the platform can remedy the situation have failed.

It's important to note that these aren't the famous Bored Ape Yacht Club NFTs that recently sold for $24.4 million at Sotheby's—they're just ripoffs.

PC Gamer notes that while there are questions over unpaid artists and competition winners, police intervention is unlikely due to jurisdictional issues and the fact it's not entirely clear if a scam has been perpetrated. But some buyers seem more interested in dealing with Evil Ape themselves. "Once we find him he's getting put on the bin and we're gonna pull up on him. The police won't even get the chance to pursue criminal charges once we are done with him […] That n***** is done for," one remaining member of the original Evolved Apes Discord told Andy Chalk.

Permalink to story.

 

Squid Surprise

Posts: 5,329   +4,972
Oh yes it does....just another way to steal crypto LOL. Seems like it was made to rip people off.
This project clearly was made as a way to rip people off... but it would have worked just as well using credit cards, checks or cash...
 

Squid Surprise

Posts: 5,329   +4,972
Yes but with crypto it's all that much easier to disappear with the money.
Actually, crypto transactions CAN be traced - cash is still the easiest to scam people with... Once again, the real story here is the fact that it was a scam - not the fact that crypto was used.
 

fps4ever

Posts: 875   +1,297
Actually, crypto transactions CAN be traced - cash is still the easiest to scam people with... Once again, the real story here is the fact that it was a scam - not the fact that crypto was used.

Sorry but its not a cash world anymore. The real story is the continuing crypto abuses and scams. Your "whataboutism" keeps falling short.
 

Squid Surprise

Posts: 5,329   +4,972
Sorry but its not a cash world anymore. The real story is the continuing crypto abuses and scams. Your "whataboutism" keeps falling short.
There are plenty of people wailing about the evils and abuses of crypto - they are akin to those old cranks saying "get off my lawn".

Crypto is here to stay, whether you like it or not. There is 0 evidence that any more or less cases of fraud are taking place because of Crypto. Fraud happened in the past, it is happening now, and will continue long after we are all dead - it's human nature.

If you have any evidence to share showing how crypto is so much worse than credit cards and any other currency, I'm all ears...
 

fps4ever

Posts: 875   +1,297
There are plenty of people wailing about the evils and abuses of crypto - they are akin to those old cranks saying "get off my lawn".

Crypto is here to stay, whether you like it or not. There is 0 evidence that any more or less cases of fraud are taking place because of Crypto. Fraud happened in the past, it is happening now, and will continue long after we are all dead - it's human nature.

If you have any evidence to share showing how crypto is so much worse than credit cards and any other currency, I'm all ears...

I'm not claiming anything other than crypto seems to be built built and target for scams and theft, especially for larger sums. Hence the continued articles. Go ahead and continue with the "wahtaboutisms" defense. Or go ahead and prove I posted anything you are accusing me of?
 

Squid Surprise

Posts: 5,329   +4,972
I'm not claiming anything other than crypto seems to be built built and target for scams and theft, especially for larger sums. Hence the continued articles. Go ahead and continue with the "wahtaboutisms" defense. Or go ahead and prove I posted anything you are accusing me of?
Your first post was about how bad crypto was... that would be like someone committing a train robbery and you claiming "if they had used steel tracks instead of aluminum, they never could have taken the train"...

The story's "main idea" is that this website was a scam - crypto is completely irrelevant to the thread... but since YOU brought it up, feel free to provide some evidence for your accusations instead of "it seems bad"...
 

fps4ever

Posts: 875   +1,297
Your first post was about how bad crypto was... that would be like someone committing a train robbery and you claiming "if they had used steel tracks instead of aluminum, they never could have taken the train"...

The story's "main idea" is that this website was a scam - crypto is completely irrelevant to the thread... but since YOU brought it up, feel free to provide some evidence for your accusations instead of "it seems bad"...

My first post said nothing of the sort of "how bad" it was. In the first place stop putting words in my mouth. And the second place that is MY opinion so I don't have to prove or owe you anything. These continued crypto theft articles should give you a clue how it SEEMS to be. Boy if I had a nickel for every time a true believer said "crypto is the future". Or better yet a nickel for "every crypto scam or theft" article.
 

defaultluser

Posts: 377   +303
If you have any evidence to share showing how crypto is so much worse than credit cards and any other currency, I'm all ears...

Crypto has enabled Wholesale Ransomware attacks the likes of which never seen before!

You can automatically point your emails at some *****, and get them to install your app,, encrypt their filesystem, cough-up virtually-untraceable crypto (because there are too many different wallets out there for the FBI to care about each one)

This used to be a lot harder to mass-produce in the days of cash (send it to a single PO box, which made it a lot easier for the FBI to get involved):

https://www.pri.org/stories/2017-05-17/strange-history-ransomware

Before Crypo made mass-produced fishing painless, your only hope of making money off Ransomware was to hack a Big company / local government - anything less was Peanuts.

If I had to give it a comparative Instance, I would say way back when Western Union started allowing transfers over the phone - But Nigerian 419 scammers still need a lot more human-ish contact before people will send that first transfer (Crypto completely-automates Ransomware payments)
 
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hwertz

Posts: 129   +68
NFT... so, you pay cash* for a web link to a tiny picture, with the web link being on a blockchain to guarantee you "own" that link -- but the link is just a link, so anyone can load the link, copy the picture, and there's no guarantee in any way that the web site the link points to will actually stay up for any length of time (I've read there's already "early" NFT from like a year or 2 ago where the sites are gone!)

*Or cypto. Honestly the fact this used ethereum is fairly irrelevant (other than adding novelty for the marks of using a ethereal currency to buy an ethereal product). They could have drained out a bank account just as well as walking off with a crypto wallet.
 

Uncle Al

Posts: 8,683   +7,588
Once again, the investors take it on the chin and by failing to demand the company purchase bid & performance bonds equal to the maximum investment the investors have created their own pain. You know, these are simply lessons that need to be taught not only in college or high school as well ... just basic economic knowledge .....
 

Phaetos

Posts: 99   +76
I have yet to understand NFT's. Your buying a token that "says" you own a digital art piece, but not the actual art piece? If that's the thing, and the rates at I see some of this trash art being sold at, I've got a few notebooks full of doodles from grade school I should start selling.
 

Squid Surprise

Posts: 5,329   +4,972
Crypto has enabled Wholesale Ransomware attacks the likes of which never seen before!

You can automatically point your emails at some *****, and get them to install your app,, encrypt their filesystem, cough-up virtually-untraceable crypto (because there are too many different wallets out there for the FBI to care about each one)

This used to be a lot harder to mass-produce in the days of cash (send it to a single PO box, which made it a lot easier for the FBI to get involved):

https://www.pri.org/stories/2017-05-17/strange-history-ransomware

Before Crypo made mass-produced fishing painless, your only hope of making money off Ransomware was to hack a Big company / local government - anything less was Peanuts.

If I had to give it a comparative Instance, I would say way back when Western Union started allowing transfers over the phone - But Nigerian 419 scammers still need a lot more human-ish contact before people will send that first transfer (Crypto completely-automates Ransomware payments)
Ransomware isn’t fraud.... it’s malicious hacking...

Fraud - like the story we are commenting on - doesn’t need crypto to happen...