ZachXBT attacked Kaito on social media, accusing a partner project of strongly inflating its user metrics. He warned crypto companies not to attract Yap farmers, as they could destroy the reputation of a new project.
Unlike his complex investigations, this criticism mainly includes informal observations and personal opinions. He does not accuse anyone of fraud, at least not in an actionable way.
ZachXBT Attacks Kaito's Metrics
ZachXBT, a famous crypto investigator, not only tracks criminals but also frequently offers opinions about projects he considers suspicious.
This morning, he continued this practice, pointing out a potential case of user metric inflation.
Specifically, Billions Network claims they have over 1 million users through collaboration with Kaito, which prompted ZachXBT to respond:
Kaito launched early this year with a bold plan to use Yap token to reward valuable social media posts.
However, immediately after launch, the program faced strong criticism from the community. From the initial promise, Kaito developed a reputation for AI-generated spam, which continued despite adjustments to its algorithm.
In recent days, ZachXBT has shown increasing frustration with Kaito users and other spammers, but it seems he has reached a breaking point.
He did not list any evidence showing Billions Network lacks such daily activity, but claims the published metrics are unreasonable.
Reputation Risks for Projects
So, what caused this explosion? In a discussion, ZachXBT agreed that Kaito's first airdrop completely changed the situation.
For most users, it is easier to profit by playing algorithm games and using AI-generated text, instead of pursuing new ideas.
Moreover, he noted that Yap spammers could damage the reputation of a small project:
"The worst part is, they all gather and start calling projects scams just because airdrops have no value. This cycle repeats with each new campaign. Yap campaigns are the new MLM schemes," he argued.
ZachXBT used different language to describe Kaito users, claiming they "embarrass themselves for money" and waste their time.
He warned young crypto companies not to get involved with this platform, as partnerships with Kaito are a "number one opposing signal for a project."
Unlike most of his serious investigations, ZachXBT does not provide much hard data to discuss Kaito. This criticism mainly includes his personal observations, opinions, and advice. If nothing else, this outburst is characteristic of him, as he has criticized AI-generated spam projects in the past.
However, his voice is very influential. Crypto developers might want to seriously consider his warnings.
