Goobers NFT founder and Twitch streamer DNP3 admits to playing investor funds
Popular Twitch streamer DNP3, the founder of several virtual currency projects, has opened up about his gambling addiction, which resulted in the loss of investor funds.
DNP3 made the shocking revelation to his Twitter followers on January 3, admitting his guilt and expressing remorse. The streamer was behind several Web 3 projects such as The Goobers NFT, charity-based CluCOin and Gridcraft Network.
His statement revealed that his addiction began in 2022 and trying to recoup the losses he suffered only led to more losses. Projects associated with DNP3 fell after the announcements, with The Goopers Project losing market capitalization while CluCoin’s suffered over 10% loss in less than 24 hours.
“During the last year I became incredibly addicted to gambling. Every dollar I could find I would put into the bet in hopes of winning big. Even when the big gains happened, it wasn’t enough. In the end I lost everything. In addition to my own savings, I also irresponsibly used investor funds to try to ‘get my money back’ from the casino, which was wrong for so many reasons,” wrote DNP3.
At the moment, it is not clear the exact amount of investor funds DNP3 gambled away, but a fair estimate suggests that the amount could run into six figures. DNP3 revealed that a sponsored stream with a gambling company triggered his gambling addiction, but added that he is “working with a support group to start the road to recovery.”
“I will create a separate tweet that will have the next step for each project I was involved with, including CLU, Xenia, Gridcraft, and Goobers,” he wrote. “I apologize for not living up to my values of integrity. I’m sorry I let you all down. I’m sorry.”
Not the first time in the ecosystem
Incidents of founders blowing customer funds via gambling are not new in the virtual currency industry. In 2022, Onepad closed operations after an executive was discovered to have gambled the funds using leveraged trading, losing over $400,000 in less than three months.
“Important Update: After careful consideration of all the remaining resources at our disposal and with everyone’s best interests in mind, we have decided to officially end Onepad.” tweeted the team. “We thank everyone who has supported us and we will put out a refund plan before the end of May.”
Negative reports of mismanagement of funds have followed the industry into the new year after enduring a turbulent 2022. Global regulators are working hard to prevent a repeat of large-scale implosions costing investors billions in losses.
See: Buzzmint Elevating NFTs
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