A well-known crypto trader known as Cobie has donated $100,000 to a YouTuber called Erling Mengshoel (known as Atozy) to help defend against a lawsuit by another YouTuber called Ben Armstrong (known as BitBoy Crypto).
Mengshoel said on Twitter today that he is being sued by Armstrong over a video he made in November 2021, where he claimed that BitBoy scammed his followers. In the lawsuit, Armstrong claims the video damaged his reputation and that he has been suffering emotional damage.
Mengshoel asked his Twitter followers to donate to a fundraising campaign or to make direct crypto donations. At first Cobie replied that he would send $100,000 or so when he was at his computer. A few hours later a donation of 100,000 USDC came through from crypto exchange FTX and he confirmed that the transaction was sent.
In his Twitter thread, Mengshoel pointed to reports that Armstrong does paid promotions for crypto projects and that he feels bad for viewers that lost money on his calls.
Shortly after Mengshoel's tweets came out about the lawsuit, Armstrong tweeted, "You can’t literally make up lies and accusations about people. There are consequences for this, Because you tell two truths and one lie, that doesn’t excuse the lie." In later comments he refused to go into further details on the advice of his lawyers.
Cobie previously led a drive to raise money for a child, known as J.O., who had leukemia. This push ended up raising $800,000 from a variety of crypto notables.
The Block reached out to Mengshoel and Armstrong for comment and will update this article should we hear back.
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