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Tyler Gaye, AKA NFT machine, accused of scamming investors

Tyler Gaye

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TL;DR

  • Tyler Gaye, possibly NFT Machine, was accused of scamming investors for $55,000, and ordered to repay $275,000.
  • Scaredofboobs revealed as Tyler Gaye, raising trust concerns in the crypto community.
  • ZachXBT exposes scam, sparking crypto community accountability debate.

In a recent revelation, Tyler Gaye, better known as the Twitter user “scaredofboobs”, was accused of being the infamous “NFT Machine” and implicated in a cryptocurrency scam. The allegations came to light through the investigative efforts of ZachXBT, an on-chain detective known for his insights into the crypto world. Here, we delve into the details of this unfolding saga.

On December 28th, ZachXBT dropped a bombshell on his official Telegram channel, proclaiming that “X/Twitter User scaredofboobs is a scammer known as NFT Machine.” This assertion stems from a series of events surrounding the NFT Machine Twitter account, which Tyler Gaye, the founder of OpenFT, a decentralized marketplace project, ran.

NFT machine’s mysterious suspension

NFT Machine’s Twitter account met its untimely demise when it was suspended by the platform for “violating [its] rules.” This suspension raised eyebrows within the crypto community, prompting speculations about the identity of the account’s operator.

A February 2022 thread by crypto investor Shual shed light on the NFT Machine account’s management, suggesting that it was controlled by the “doxxed American citizen” Tyler Gaye. Further confirmation of this link comes from a report by the Colorado section of LocalToday news, which asserts that Tyler Gaye and NFT Machine are one and the same. Additionally, the report claims that Tyler Gaye is a resident of Denver.

The alleged scam

Investors filed a lawsuit against Tyler Gaye, alleging that he orchestrated a fraudulent scheme to raise funds for his personal NFT collection. Using his NFT Machine Twitter account, Gaye promoted OpenFT and reportedly managed to raise a substantial sum of $55,000 from investors. 

However, instead of delivering on his promise to create an NFT marketplace, Gaye purportedly diverted the funds towards acquiring NFTs for his personal gain, including items from the MoonCats collection.

As a consequence of his actions, investors took legal action against Tyler Gaye, eventually locating his home address with the help of a private investigator. A default judgment was issued against Gaye when he failed to appear in court. 

The court ordered him to reimburse investors the initial $55,000, along with an additional $55,000 in damages, and a staggering $165,000 in punitive damages, bringing the total sum to a substantial $275,000.

Despite the court’s orders, Tyler Gaye appears to have continued his involvement in the crypto sphere, creating new projects, including ArcadeDAO, a retro gaming initiative. These developments have raised concerns about the implications for investors and the broader crypto community.

It is worth noting that “scaredofboobs,” the Twitter user in question, has a reputation within the crypto community for publishing open-source code related to Solana smart contract development. They are also known as the developer of Gamegear, a web-based platform offering retro games like Mega Man, Sonic the Hedgehog 3, and Dig Dug.

ZachXBT’s revelation

ZachXBT, known for his prior investigative work, made the revelation on December 18th, asserting that Tyler Gaye is, indeed, the individual behind the “scaredofboobs” Twitter account. This disclosure has sparked discussions within the crypto community regarding the responsibility and accountability of those involved in cryptocurrency projects.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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Lacton Muriuki

Lacton is an experienced journalist specializing in blockchain-based technologies, including NFTs and cryptocurrency. He dabbles in daily crypto news rich with well-researched stats. He adds aesthetic appeal, adding a human face to technology.

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