A prominent crypto investigator known for unmasking fraud within the digital asset space has now accused a well-known influencer of orchestrating a multimillion-dollar scam to bankroll a spiralling gambling habit.
ZachXBT, a widely followed pseudonymous sleuth on X (formerly Twitter), released a detailed thread alleging that Christian Nieves better known in the crypto world as Daytwo was the mastermind behind a phishing scheme involving fake Coinbase sites. The scam, ZachXBT claims, may have defrauded victims of as much as $4 million.
Fake Coinbase Links, Real Losses
According to ZachXBT’s investigation, the scam revolved around phishing links that impersonated Coinbase, one of the most recognised names in the crypto exchange world. Victims were contacted by individuals posing as Coinbase employees and instructed to create new accounts on what appeared to be the legitimate platform.
However, the links provided were fraudulent. Instead of directing users to Coinbase’s official site, the URLs led to sophisticated mirror pages designed to harvest sensitive login credentials and, crucially, private keys. With this information, scammers could gain full control of users’ wallets and syphon off funds undetected.
While tracing cryptocurrency can be challenging for the average investor, ZachXBT’s forensic skills allowed him to follow the blockchain trail. He believes the group behind the scam laundered the stolen assets through Roobet, a well-known online casino that accepts crypto.
The Gambling Connection
ZachXBT’s investigation points to Christian Nieves as the central figure in the scheme. The sleuth alleges that Nieves used the stolen funds to gamble under the alias “pawsonhips” on Roobet and that on-chain data reveals a pattern of increasingly desperate deposits.
“Daytwo has a gambling problem, and you’ll see on-chain how casino deposits get smaller as he loses funds,” ZachXBT wrote. “Recently, this escalated to the point where he started stealing cuts from accomplices.”
The implication is that Nieves, initially operating with others, began withholding portions of the stolen funds as his gambling losses mounted. While ZachXBT emphasised the severity of the alleged crimes, he also acknowledged the possibility that Nieves may be suffering from a genuine addiction.
Laundering with Monero
Part of the allegedly stolen funds was also traced to Monero (XMR), a cryptocurrency known for its privacy features. Unlike Bitcoin or Ethereum, Monero transactions are designed to be untraceable, making it a favoured tool among those seeking to obscure illicit activity.
ZachXBT’s findings suggest Nieves may have attempted to use Monero to conceal the movement of funds. Though privacy coins like Monero are legal to use, they have frequently been cited in cases of financial fraud and money laundering.
A Pattern of Exposure
This is not the first time ZachXBT has made headlines for exposing alleged wrongdoing in the crypto community. The anonymous investigator has become a respected, if feared, figure for his in-depth threads that combine blockchain analysis with open-source intelligence.
While the exact number of victims in the alleged Coinbase phishing scam has not been confirmed, ZachXBT suspects there may be as many as 30. The estimated total of stolen funds sits at approximately $4 million.
Nieves has not publicly responded to the allegations, and there is no indication as of now that law enforcement has taken action.
A Wake-Up Call for the Crypto Community
The exposé comes as a stark reminder of the vulnerabilities that still exist within the rapidly growing cryptocurrency ecosystem. Despite increasing adoption and innovation, scams and security breaches remain a serious concern, particularly for retail investors.
As blockchain technology matures, so too do the methods used by bad actors to exploit it. The alleged case of Christian Nieves, if confirmed, underscores not only the risks associated with phishing scams but also how personal issues such as gambling addiction can drive individuals towards criminal activity.
With watchdogs like ZachXBT continuing to monitor the space, the hope is that greater transparency and accountability will follow. For now, his latest findings have once again shone a light into the darker corners of the crypto world.
