X Files Lawsuit Against Bitcoin Influencers Over Alleged Payout Manipulation

By Michael Adeleke

Key highlights:

  • Six X users have been sued over an alleged payout scheme
  • The accounts allegedly worked together to boost each other’s engagement to earn from X’s Creator Revenue Sharing Program
  • X said the group got at least £207,384 through the alleged scheme

X has taken legal action in the UK against a group of Bitcoin influencers. The company said these users worked together to fake engagement and collect money they were not entitled to through its creator payment system.

The case was filed on September 17 at the Business and Property Courts of England and Wales. The lawsuit identified two people, Vivek Kumar Sen and Zamyang Sherpa, along with other unnamed people who allegedly ran connected accounts.

X accuses accounts of working as a team to boost payouts

The accounts under scrutiny have been part of X’s Creator Revenue Sharing Program from August 2023 to February 2026. The company said the accounts boosted their engagement numbers by liking, replying to, and reposting each other’s content. 

This made the posts look more popular than they actually were. This strategy helped the individual accounts earn more money, since payouts in the program are based on engagement.

X submitted evidence to support its claims. The company said that on August 13, three of the accounts replied to the same post from another user about 31 seconds apart. On three other days in July and August, the accounts posted almost identical content within minutes of one another, according to X. 

In another case on August 5, two accounts practically posted almost the same message about 11 seconds apart.

X also highlighted three accounts that were not part of the core group but also helped by repeatedly liking, replying to, and reposting the main accounts’ posts. The company said more investigation will be conducted to uncover more accounts involved in the scheme.

How much money was involved

X shared a breakdown of how much each account received through the program. One account reportedly made the largest amount, at over £74,000. Two other accounts each got around £49,000 to £50,000. The other accounts received smaller amounts from about £3,000 to £23,000.

In total, X said the group generated at least £207,384 or about $270,000 in income. The company made sure to mention that some of these accounts gave false information when setting up their payment accounts.  X shut down all of the accounts on August 18.

X wants its money back, plus damages

The social media company is asking the court to order the defendants to pay back the money they made through the alleged manipulation. The company is also seeking damages, extra compensation that a court may decide is fair.

According to the legal team, X said it has spent about £75,000 investigating the matter, analyzing the accounts, and fixing any resulting problems, apart from the £207,384 in disputed payouts. The company is asking that this amount be covered as well.

X is basing its case on claims of fraud, breach of contract, and unjust enrichment, which means someone gained money unfairly at another party’s expense. 

So far, no public response from the defendants has been filed in court, and no judge has ruled on the case.

Source:: X Files Lawsuit Against Bitcoin Influencers Over Alleged Payout Manipulation