Cryptoeats Scams Investors After Raising £500K From Token Sale

Beware of scams. Cryptoeats, which was allegedly a company that raised 8 million in a Series-A funding round to create a crypto-based Ubereats replacement, vanished after it launched its token. Estimates suggest that the startup may have received more than PS500K in investors after the launch its official token, dubbed “eats”. The scam was promoted by UK-based influencers who manufactured related apparel and even hosted a London launching party.

Cryptoeats Scams and Disappears

Cryptoeats, which was a company that wanted to create a crypto-based Ubereats replacement, disappeared from the internet within minutes of launching its token. Although the company had an official website, it claimed that they had raised funds for their proposal. It also stated that it had conducted a public beta test of the service and partnered with McDonald’s and Nando’s.

The startup also claimed that it had already signed up more than 100,000 customers to the app, which they will be able to use on launch day. According to reports, the developers of eats (the native token of the platform) emptied the wallet that held the funds from the initial token sale. They allegedly stole more than PS500K from investors. The startup’s website and all social media accounts were deleted shortly afterward.

Cryptoeats Seemed Legit

Cryptoeats was concerned about appearing legitimate before it vanished. In October 2016, the company released a PR statement claiming it had raised $8M in its Series A funding round in 2020. The company published a PR statement on October 16 claiming it had raised $8 million in its series A funding round in 2020.

Cryptoeats was also active at a local level by bringing in U.K. influencers who promoted the new initiative to their fan base. Joey Essex, a reality television celebrity who promoted Cryptoeats, said to local media that he was unhappy about the situation and the amount of crypto scams out there.

Essex stressed:

I’m fuming. This company used my name to dupe lots of people into investing money. It’s disgusting and I feel bad for anybody in that situation.

Cryptoeats was promoted by more than just Essex. Many other influential people attended the launch party in London last week, where some assistants were seen wearing Cryptoeats clothing.

Beware of scam coins. Please do your due diligence before investing in anything.