Crypto community members and prominent businesses have come together to donate over $1 million in various stablecoins and tokens to ZachXBT, a popular blockchain sleuth, as he prepares to fight defamation charges. According to data from the on-chain analytics tool Nansen, ZachXBT received donations in the form of USD Coin (USDC), tether (USDT), dai (DAI), and even memecoins such as JESUS and PEPE from hundreds of wallets. Notable backers include crypto exchanges Binance, security firm CertiK, and Tron creator Justin Sun. Most of the funds were sent via the Ethereum blockchain, with smaller amounts sent from Arbitrum, BNB Chain, Optimism, Polygon, and Fantom-based tokens. ZachXBT has since moved the funds to another address.
The lawsuit was filed last week in the U.S. District Court for the Western District of Texas by NFT trader MachiBigBrother, otherwise known as Jeffrey Huang. The complaint alleges that ZachXBT defamed MachiBigBrother, “inflicting serious reputational and monetary harm” on him. ZachXBT faces one count of libel and one count of libel per se. In response, ZachXBT asked his followers to help support the legal costs associated with fighting the lawsuit, aiming to raise at least $1 million.