The NFT scandal of Lana Rhoades: How 1.5 million dollars disappeared

In January 2022, the NFT market experienced one of its most controversial cases when former adult content star Lana Rhoades launched her project "CryptoSis", which would later become an example of what many consider a scam in the crypto space.

Timeline of the CryptoSis Case

Lana Rhoades' NFT project started with great expectations in early 2022. The influencer, who had millions of followers on social media, announced the launch of her collection while sharing her excitement about having lost 35 pounds (15.8 kg) and her entry into the NFT world.

The lightning fundraising:

• 6,069 NFTs were minted at a price of 0.1 ETH each (approximately $250 at that time)
• The sale generated approximately $1.5 million in less than 48 hours
• The promotion included promises of benefits for investors

Unfulfilled Promises

The expectations created by the CryptoSis project were ambitious. Among the commitments that Rhoades made to his investors stand out:

• Rewards with virtual lands on platforms like Sandbox and Decentraland
• Direct commitment to raise the "floor price" (minimum price) of the NFTs so that investors could make profits
• Explicit profit guarantees for those participating in the project

The abandonment of the project

What many investors did not anticipate was the abrupt abandonment of the project. According to reports from media specialized in cryptocurrencies, Rhoades:

1. He did not provide a technical or financial explanation for the project's failure.
2. She justified her withdrawal by claiming that "people were being cruel to her on Discord"
3. He deactivated his social media accounts during the controversy, as confirmed by CoinCu in February 2022.

The situation worsened when cases were reported of investors who had committed substantial amounts. According to the available information, when an investor with a small child expressed concern about having invested a significant amount, he allegedly received disparaging comments about "the high cost of diapers."

Impact and Consequences

The case of CryptoSis adds to a series of NFT projects backed by celebrities that have generated controversy. Despite the magnitude of the case:

• No significant legal actions have been reported against Rhoades for this incident.
• The value of CryptoSis NFTs plummeted after the project's abandonment.
• The controversy sparked debates about the regulation of promotions of crypto assets by influencers.

Lessons for Investors

This case illustrates several risk patterns in NFT projects:

• Unrealistic promises: Guarantees of direct profitability are often warning signs.
• Accelerated launches: Projects that raise large sums in very short periods require greater scrutiny.
• Excessive reliance on celebrity endorsements without a visible solid technical team

For investors interested in NFT projects, this case reinforces the importance of thorough research before committing funds, especially in new projects with big promises.