Key Points
- X Corp has initiated legal proceedings against two identified individuals and several unnamed account holders in United Kingdom courts for alleged creator payout fraud.
- The platform claims a network of cryptocurrency-themed accounts illegally obtained no less than £207,384 via its creator payment system.
- According to court filings, the accounts allegedly duplicated content and artificially inflated one another’s metrics to maximize earnings.
- The platform terminated access to the questioned accounts on August 18, with formal legal action commenced on September 17.
- X has subsequently discontinued Creator Revenue Sharing in favor of its newly launched Original Content Rewards initiative.
X Corp has initiated legal proceedings in the United Kingdom against two identified individuals and multiple unnamed account operators in connection with an alleged fraudulent operation involving cryptocurrency-related profiles and creator compensation.
The legal action was submitted to the Business and Property Courts of England and Wales on September 17.
X Internet Unlimited Company alongside X Corp identified Vivek Kumar Sen and Zamyang Sherpa as primary defendants, in addition to unknown individuals allegedly controlling associated profiles.
The allegations remain unproven in legal proceedings, with no public defensive submissions or judicial decisions available as of September 21.
Platform Claims Coordinated Cryptocurrency Profile Operation
X contends that six primary accounts functioned as an organized network engineered to maximize monetizable user interaction.
The profiles in question comprise @Vivek4real_, @Bitcoin_Teddy, @saylordocs, @TrendingBitcoin, @Kalshibacktest and @PolyBackTest.
Based on court documents, certain accounts posted nearly identical content within moments of each other.
X further contends the profiles systematically engaged with one another through likes, reposts and comments.
The platform asserts this behavior was employed to inflate impression counts and maximize creator earnings through its Creator Revenue Sharing Program.
Three supplementary accounts were referenced in an appendix as allegedly participating in comparable engagement manipulation.
X indicated ongoing investigation may uncover additional accounts or individuals involved.
Platform Demands Return of Over £207,000 in Distributions
X asserts it distributed no less than £207,384 via the challenged accounts.
The highest recorded distribution totaled £74,332.44 for @Vivek4real_, with @saylordocs collecting £49,441.91, per the filing.
Distributions associated with @Bitcoin_Teddy were documented at approximately £50,000, with remaining accounts receiving lesser sums.
X additionally pursues no less than £75,000 to cover investigation, analytical work, corrective measures and preventive costs.
The platform alleges certain linked payment accounts included deceptive details and that shared devices, cookies, software applications and additional identifiers linked portions of the operation.
Its legal assertions encompass fraud, contractual violation, unjust enrichment, knowing receipt and conspiracy through unlawful means.
X seeks reimbursement or return of questioned funds, compensatory damages, accrued interest and legal expenses.
Platform Introduces Replacement for Creator Revenue System
X terminated the accounts on August 18 following identification of what it characterized as organized revenue-sharing manipulation.
The platform ceased accepting fresh applicants into Creator Revenue Sharing on August 7 and terminated earnings through the program on September 7.
X commenced implementation of its substitute Original Content Rewards Program on September 8.
The revised system calculates payments based on qualified impressions produced by original material viewed by Premium subscribers.
Its terms explicitly prohibit fraudulent, purchased, promoted or synthetically generated impressions.
Duplicated content, reuploaded materials and posts with minimal original contribution are similarly disqualified from compensation.
X stipulates creators may not employ bots, automation or alternative tactics to artificially generate engagement.
The lawsuit continues in the court system, with no judicial determination yet made regarding whether X’s assertions against Sen, Sherpa or the unnamed defendants hold merit.
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