Crypto Community Duped in NFT Scam by Faux Cancer Patient, Sheds Light on Rising Fraud in Web3 Space

The crypto community on Twitter was recently duped by a scam involving NFTs by an individual claiming to be a cancer patient in need. The scammer, operating under the account name "Phoenix", stated they were creating pixel art NFTs as a means to support their treatment costs. This narrative swiftly gained traction, encouraging many in the community, including crypto influencers, to promote and purchase the digital art.

However, the feel-good story quickly unraveled. Web3 artist Arcanic was among the Twitter users who uncovered the scam, revealing that Phoenix was merely reselling works from other artists, including one known as Snooow. It was also discovered that the Phoenix account had previously employed similar scams, including one instance where they claimed their wife was suffering from cancer.

Before the scam became widely recognized and the Twitter account deleted, Phoenix managed to raise approximately 63.5 ether (around $119,000) through their NFT sales. According to crypto investigator ZachXBT, the proceeds were moved to other wallets, possibly even to the cryptocurrency exchange OKX.

BenJammin, a prominent crypto enthusiast who initially promoted the fraudulent NFT project, expressed his frustration with the incident. "We as a community came together to support someone with a heart-wrenching story. For half a day, it felt good and genuine again," he lamented, expressing disappointment over the growing number of scams in the Web3 space.

In response to the event, Arcanic urged the community not to lose their empathy despite such setbacks. He described the incident as "a gut-punch to everyone trying to do some good in space so riddled with drama and grifters."