Onchain investigator ZachXBT has released a detailed exposé linking Serpent, a former professional Fortnite player, to a series of account compromises and meme coin scams that defrauded victims of $3.5 million. The findings reveal a troubling evolution from esports to alleged criminal activity, with funds reportedly funneled into online gambling.‍

From Esports to NFT Projects and Scams

Serpent, also known as SerpentAU, is an Australian former pro Fortnite player who gained notoriety after being released from the esports organization ‘Overtime’ in 2020 following allegations of cheating. By 2022, he had co-founded the NFT project DAPE, which later rug-pulled, leaving investors empty-handed.

In March 2024, Serpent launched another project, ERROR, which similarly rug-pulled, leading to his ban from the social media platform X (formerly Twitter). 

Blockchain records show the ERROR project’s deployer address, 0x8233873ee35547097ccb9098adbab955d7120ee8, transferring 29 ETH to two instant exchanges on October 23, 2024.‍

Tracing the Funds

ZachXBT’s investigation traced the funds to Solana, where they were deposited into an online casino using the address Ecb5vsomUG3MEnLCgiFvkdnnqpggTEXtN17z62iDPuU3.

Further analysis revealed connections between this address and multiple compromised accounts, including those of notable individuals and entities such as McDonald’s, Usher, Andy Ayrey, and Dean Norris.‍

Gambling Activities Revealed

The investigation highlights Serpent’s high-stakes gambling habits, with millions reportedly spent monthly on platforms such as Roobet, Stake, BC Game, and Shuffle. ZachXBT claims to have obtained recordings of Serpent gambling on Discord, where he inadvertently exposed deposit and withdrawal addresses.

One notable transaction occurred on November 1, 2024, when Serpent shared a $100,000 deposit and a $200,000 withdrawal. These transactions were linked to the address 0xb8c9c8a5756a7992df65f949b7c1423eeb435aa5, which connects to previously compromised accounts.‍

Additional Actors Involved

The thread also implicates another individual, known as Dex, in one of the scams. Dex, reportedly from Massachusetts, was linked to the compromise of the Andy Ayrey account and allegedly began panicking after being named in ZachXBT’s Telegram channel. Dex reportedly claimed to have been extorted, stating he handed over $700,000 under duress.‍

Remaining Funds and Attempts to Cover Tracks

ZachXBT identified several addresses still holding funds tied to the scams. As the investigation unfolded, Serpent began deleting posts from his new X account, presumably in response to ZachXBT’s initial findings.‍

Ongoing Investigations

While significant progress has been made, ZachXBT indicated that additional compromised accounts and on-chain connections have yet to be uncovered. A detailed report has been shared with a victim of one of the scams, signaling that efforts to recover stolen funds and hold those responsible accountable are underway.