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Industry

ZachXBT Claims $25M in Crypto Presale Funds Fueled Spartans

On-chain trails linked presale wallets, exchange transfers, and KOL payment addresses tied to the alleged movement of investor funds across projects.

Written By Sharmistha Suman Sharmistha Suman
Fact Checked by Shubham Soni Shubham Soni
Published 2026-05-20·Updated 2 months ago
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ZachXBT Claims $25M in Crypto Presale Funds Fueled Spartans

Key Highlights

  • ZachXBT alleged that around $25 million from BlockDAG and ZKP presales was diverted to promote Spartans.com.
  • The funds reportedly moved through Ethereum and Tron wallets, exchanges HTX and BTSE, and KOL payment addresses.
  • BlockDAG, ZKP, and Spartans have not publicly responded to the allegations.

ZachXBT, an on-chain investigator, has shared a detailed forensic report alleging that approximately $25 million in presale funds from BlockDAG Network and ZKP were commingled and used to promote Gurhan Kiziloz-linked casino project Spartans.com.

According to a message posted on Telegram, ZachXBT said the funds originated from BlockDAG’s presale address and ZKP’s presale wallet and were routed through consolidation addresses before being bridged from Ethereum to Tron. 

The funds were then allegedly moved through HTX and BTSE before reaching wallets associated with Spartans and a dedicated KOL payment address, TRa9KjECpmmBBr1GKTwEWmskdiEKyLnf3C on Tron and 0xb8e55a329536f3e981c63567b7b1156533d1855a on Ethereum.

ZachXBT said neither BlockDAG nor ZKP disclosed in their presale materials that investor funds could be used to promote a separate casino venture. The report raised concerns about transparency and the handling of investor capital.

Projects have yet to respond

ZachXBT said that after he requested clarification on X, the Spartans team blocked his account rather than addressing the allegations.

At the time of this writing, BlockDAG, ZKP, and Spartans have not provided an official rebuttal concerning the wallet trails pointed out by ZachXBT.

In a previous investigation, ZachXBT alleged that Kiziloz had longstanding ties to BlockDAG. The project reportedly raised more than $300 million from retail investors, primarily through aggressive online marketing.

The alleged co-founder of Spartans is Gurhan Kiziloz who is behind a sketchy project called Blockdag Network which has raised $300M+ from unsophisticated retail investors via social media ads which stated unrealistic returns and misleading partnerships.

They have held the token… pic.twitter.com/4shtStpIk2

— ZachXBT (@zachxbt) April 9, 2026

The token sale by the BlockDAG platform has reportedly gone on for over two years now, but some of the proceeds were withdrawn through Middle Eastern OTC desks.

In October 2025, the investigator revealed the identities of BlockDAG’s management and identified them merely as figureheads for the project, identifying Gurhan Kiziloz as a secret co-founder of BlockDAG. However, Kiziloz apparently admitted his role in the venture. 

Crackdown on market manipulation 

In a separate development, ZachXBT recently announced a reward of up to $10,000 in search of credible information on Heisenberg Guru, or HSBG, a market maker based in Hong Kong. 

HSBG has been receiving considerable scrutiny because of its alleged involvement in market manipulation by means of a centralized exchange, or CEX. The $RIVER token has been identified as one of its victims. Allegations against HSBG involve its participation in unusual coordinated trades that could have influenced the price of tokens in major exchanges.

Investors advised to stay cautious 

This case shows the difficulties associated with the crypto presale market, where enormous amounts of money could be collected without any regulatory controls. It is worth noting that investors should be extremely careful and always check out what a project does with the collected money.

While the claims remain unproven unless independently verified or addressed by the parties involved, the report has intensified scrutiny over how investor funds are used in the crypto sector.

Also Read: Morgan Stanley Updates Solana ETF Filing With Detailed Staking Plan

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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Sharmistha Suman
By Sharmistha Suman
Sharmistha Suman is a Crypto Journalist at The Crypto Times, based in Bhopal, Madhya Pradesh. She covers Bitcoin and Ethereum price action, Indian crypto regulation, and emerging Web3 protocols, with a particular focus on how Indian retail and institutional investors participate in the global digital asset market. She joined The Crypto Times in April 2026. Sharmistha has been writing on cryptocurrency and blockchain since 2022. Before joining The Crypto Times, she contributed to The News Crypto and Todayq, and produced independent research on Indian crypto adoption, the country's evolving regulatory framework, and the developer ecosystems building on Ethereum and Solana. She holds a Master's degree in Digital Journalism and a Bachelor's degree in Journalism and Creative Writing, both from Makhanlal Chaturvedi National University of Journalism and Communication in Bhopal.
Shubham Soni
By Shubham Soni
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Shubham Soni is the Editor at The Crypto Times, based in Ujjain, Madhya Pradesh. He oversees the editorial desk, reviewing daily news coverage of cryptocurrency markets, US and Indian regulation, institutional adoption, the Solana ecosystem, AI agents, and Real World Assets (RWAs). All policy and markets coverage at The Crypto Times passes through his desk before publication. Before joining The Crypto Times in October 2025, Shubham managed news desks at Sportskeeda and Opoyi, covering global politics, sports, and entertainment for high-volume newsrooms serving the US and Indian markets. His four years in fast-paced newsrooms shaped his approach to fact-checking, source verification, and structural editing on complex stories. Shubham holds a Master's degree in Journalism from Makhanlal Chaturvedi National University of Journalism and Communication (Bhopal) and a Bachelor's degree in Journalism from Amity University Rajasthan. 

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