Jeffrey Huang Hits Back at Embezzlement, Pump and Dump Allegations

• Jeffrey Huang refuted allegations of embezzling ETH and launching “pump and dump”
   projects.
• In 2022, ZachXBT alleged that Huang stole 22,000 ETH and launched 10 failed projects.
• Huang filed a defamation lawsuit against ZachXBT.

Jeffrey Huang, an NFT trader, tech entrepreneur, and musician, known as Machi Big Brother on Twitter refuted the claims raised against him regarding the embezzlement of 22,000 ETH from the digital asset management platform Formosa Financial. ZachXBT, an on-chain sleuth published an article last year, stating that the Taiwanese-American musician stole more than 22,000 ETH and launched over “10 failed pump and dump tokens and NFT projects.”

Last week, Huang filed a defamation lawsuit against ZachXBT, accusing the sleuth of damaging his reputation.  ZachXBT, in response to the NFT trader’s assertions, defended himself by affirming that Huang’s lawsuit is “baseless and an attempt to chill free speech”.

Meanwhile, the leading crypto exchange Binance provided financial support to Zach in the defamation lawsuit, by donating $850k. However, the donation proved controversial as it followed Huang’s contribution of his Bored Ape Yacht Club (BAYC) NFT collection to Binance.

On 19 June, Huang came forward with a series of Twitter threads, pointing out the “inaccuracies in Zach’s post”.

The entrepreneur reiterated that the sleuth was wrong in his accusation and was not able to produce any evidence to prove it. In an attempt to resolve the charges against him, Huang posted another thread, swearing that he has “proof and receipts”.

Denying the accusation of stealing ETH, the NFT dealer assured that he “did not have access to the multisig that transferred the treasury ETH”. He added that none of the receiving addresses belonged to him.

In response to the allegations connected to the exploitation of Cream Finance, a failed project mentioned in Zach’s article, Huang commented, “There were two, not three exploits”. He quoted:

I left Cream Finance in the hands of a highly-respected team in 2020, prior to the two exploits on Aug and Oct 2021. I returned to steward the protocol in Feb 2022 and recovered funds for those impacted by the exploits.

Finally, Huang addressed the charges on the failed Squid DAO project, pronouncing that there wasn’t any pump or dump. Attaching evidence of the redistributed 12,000 ETH in 2022, he assured that there wasn’t any “wrongdoing”.