X Sues Bitcoin Account Operators Over Alleged $278,000 Creator Payout Fraud
X files lawsuit alleging coordinated Bitcoin account fraud
X, the social media platform owned by Elon Musk, has sued the alleged operators of a network of Bitcoin-focused accounts. The company is seeking to recover at least $278,000 in creator payouts it says were obtained through manipulation of engagement.
The lawsuit was filed in the High Court of England and Wales on Thursday against Vivek Kumar Sen, Zamyang Sherpa, and unidentified account operators. The court filing is available on X's Transparency Center.
Key figures and account details
- Alleged fraudulent payouts: at least 207,384 British pounds ($278,000)
- Investigation and remediation costs claimed: at least 75,000 British pounds ($100,000)
- Total claimed and projected losses: at least 282,384 British pounds before interest and legal costs
- Six accounts linked to the defendants: @Vivek4real_, @Bitcoin_Teddy, @saylordocs, @TrendingBitcoin, @Kalshibacktest, and @PolyBackTest
- Three additional accounts named for boosting engagement: @BTC_Vibes, @MrSuperBitcoin, and @Laserlump
What the court filing describes
X alleges the defendants coordinated multiple accounts to boost engagement by reposting and liking one another's content and publishing identical or substantially similar posts. The company described this as creating a "false appearance of genuine, human communication and interaction."
The filing links Stripe accounts associated with the first three profiles to Sen and those associated with the other three to Sherpa. The accounts joined X's creator revenue-sharing program between August 2023 and February 2026.
X cites an Aug. 5 example in which @Vivek4real_ and @TrendingBitcoin allegedly published substantially similar posts within 11 seconds of each other.
How X's creator revenue-sharing program worked
Under X's former creator revenue-sharing program, eligible creators received a share of the platform's revenue based on the engagement their posts generated from other users. X retired the program on Sept. 7 and began rolling out access to its replacement, Original Content Rewards, the following day.
X suspended the involved accounts on Aug. 18 over what it called creator revenue-sharing fraud and platform manipulation.
What is confirmed
Confirmed details include the existence of the lawsuit, the named defendants, the six and three accounts identified in the filing, the alleged coordination method, the suspension of accounts on Aug. 18, and the retirement of the revenue-sharing program on Sept. 7.
What is still unclear
Cointelegraph sought comment through an email address linked to Sen in the filing but had not received a response by publication. Sherpa could not be reached for comment. The defendants have not publicly responded to the allegations, and the court case has not yet been heard.
Why this matters
The case highlights how social media platforms are attempting to address manipulation of their revenue-sharing programs. It also comes as X transitions from its creator revenue-sharing program to a new system called Original Content Rewards.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.