The cryptocurrency influencer Lark Davis has refuted new accusations by Twitter on-chain sleuth ZachXBT of promoting “small-cap projects” to his audience “only to get rid of them soon after.”
Davis was responding to a Twitter thread posted by Zach on September 29, which contained allegations that he got a gain of more than USD 1.2 million through the sale of cryptocurrency project tokens that he was allegedly paid to promote without disclosing it.
In a thread of 17 parts, Zach showed eight examples of what is supposedly Davis’s crypto wallet when he received tokens from new cryptocurrency projects, Davis subsequently tweeted or posted a video about them, and soon after sold the tokens.
Speaking to Cointelegraph, Zach said he received requests from multiple people who lost money on the tokens Davis promoted, asking to “take a closer look” at him.
“Lark managed to dump small-cap projects over and over again,” Zach said.adding that they have investigated other crypto influencers, but the alleged amount “was never of this magnitude.”
Zach claimed in the thread that the biggest win for Davis came from receiving 120,000 SHOPX tokens, to which Davis subsequently tweeted about the project while simultaneously selling the tokens, earning $435,000.
6/ Example 3: $SHOPX
a) Mar 31, 2021 at 3:31 pm UTC Lark receives 120k SHOPX
b) Apr 1, 2021 at 12:32 am UTC Lark Tweets about the project
c) Meanwhile Lark is in the process of dumping all his 120k SHOPX for over $435k USD (finishes on 4/2) pic.twitter.com/mc3HvHrCdI
— ZachXBT (@zachxbt) September 29, 2022
6/ Example 3: $SHOPX
a) March 31, 2021 at 3:31 pm UTC Lark receives 120,000 SHOPX
b) April 1, 2021 at 12:32 UTC Lark tweets about the project
c) Meanwhile Lark is in the process of dumping all of her 120,000 SHOPX for over $435,000 (ends 4/2)
This example along with seven others that Zach allegedly presented shows that Davis made more than $1.2 million in a similar pattern.
“Participating in seed rounds and sharing projects you really like is completely fine as long as it’s done transparently,” Zach tweeted, adding:
“This is not the case as Lark has a pattern of dumping discounted tokens right after shilling via YT (YouTube), Twitter, and [su] news bulletin.”
Cointelegraph solicited comment from Davis and it was managed to a series of tweets posted late on September 29 in which Davis calls the accusations made by Zach “ridiculous” and provided a response to each example that Zach alleged he benefited from.
“I didn’t get anything for free,” Davis tweeted. to his more than a million followers, adding that his investments in the token sale are “always declared” on his 485,000-subscriber YouTube channel and shared with his followers “well before launch.”
For the sales in question, I want to be clear that:
1. I disclosed that I was an investor when I initially discussed them
2. I talked about it before the token sale, to give you a chance to get into the sale.
3. I paid for all of these coins, I got nothing for free.
— Lark Davis (@TheCryptoLark) September 29, 2022
For the sales in question, I want to make it clear that:
1. I declared that I was an investor when I initially commented
2. I talked about it before the token sale, to give whoever wants it the opportunity to enter the sale.
3. I have paid for all these coins, they have not given me anything.
Davis added that he was following an investment strategy that he teaches, selling tokens at launch, which he claims is common investment practice for token sales.. Davis said that the amounts he sold were “nowhere near enough to drive down the price” of the tokens.
“I teach this concept frequently to all of you; none of this should come as a surprise if you’ve been paying attention,” he tweeted. “What you decide to do with my opinions is entirely up to you.”
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