In a landmark case, Aurelien Michel, the 25-year-old founder of the Mutant Ape Planet NFT collection, has pleaded guilty to wire fraud charges in a Brooklyn federal courthouse.
In a landmark case, Aurelien Michel, the 25-year-old founder of the Mutant Ape Planet NFT collection, has pleaded guilty to wire fraud charges in a Brooklyn federal courthouse, the first conviction of its kind in U.S. history. Michel faced accusations of conspiring to commit wire fraud, defrauding Mutant Ape NFT holders of nearly $3 million.
The wire fraud scheme involved executing a "rug pull," where creators sell NFTs with false promises, only to abandon the project and abscond with investors' funds. Michel explicitly admitted to rug pulling Mutant Ape Planet holders, stating that the community had become too toxic.
Crypto investigator Zachxbt also revealed that the wallet of Aurelien Michel was involved in two other NFT rug pulls, Fashion Ape NFT and Crazy Camels, which scammed $1.1 million and $1.6 million from investors respectively.
Michel now faces up to five years in federal prison and has agreed to forfeit $1.4 million. His guilty plea emphasizes the U.S. government's commitment to addressing fraudulent activities in the rapidly evolving digital asset space.
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