X has filed a lawsuit against Vivek Kumar Sen and Zmyang Sherpa, accusing the pair of operating a network of fake bitcoin news accounts to generate fraudulent payouts through the platform’s creator rewards program.
The case alleges that Sen and Sherpa were behind the operation, which used multiple accounts to publish fabricated bitcoin-related headlines and generate artificial engagement. X is represented by law firm Lewis Silkin LLP and is seeking the recovery of at least £207,000 ($277,000) in creator-fund payments. The platform is also seeking additional damages related to its investigation and remediation efforts, although those costs have not yet been quantified.
According to the lawsuit, nine X accounts were connected to the alleged operation: @Vivek4real_, @Bitcoin_Teddy, @saylordocs, @TrendingBitcoin, @Kalshibacktest, @PolyBackTest, @BTC_Vibes, @MrSuperBitcoin and @Laserlump.
The accounts allegedly posted fabricated “breaking” news stories that were frequently identical or nearly identical and appeared on the platform within seconds of one another.
Many of the posts reportedly relied on unsupported claims involving major financial institutions and executives in an apparent effort to attract large audiences. Examples cited in the lawsuit include claims that Goldman Sachs’ CEO was backing a crypto bill and that Citibank had purchased $12.6 million worth of bitcoin.
X also alleges that accounts within the network repeatedly interacted with the posts by liking, replying and reposting them. The platform claims this activity was designed to make the content appear more popular and create the impression of genuine user engagement.
Paid Engagement Allegations
The lawsuit alleges that the @Vivek4real_ account went beyond distributing bitcoin-related posts and offered engagement-manipulation services to outside parties.
According to X, the account solicited customers interested in purchasing additional accounts with large follower bases. The complaint references an alleged message from Sen to a potential buyer regarding an account transaction.
In the message cited by X, Sen allegedly asked to continue the conversation through another channel because encrypted chat had not been enabled, adding that he did not want the parties to get into trouble over something X prohibited.
X says it terminated the accounts associated with the alleged network on Aug. 18, citing “coordinated revenue sharing fraud and platform manipulation.”
The platform claims its investigation found additional connections among the accounts. Payments were allegedly processed through shared Stripe accounts containing inconsistent names, while the accounts were also linked through common devices and login identifiers.
One example cited in the lawsuit involves Stripe payment information registered under the name “Stefan Mann,” while the associated bank account and email address allegedly belonged to Sen.
X is seeking repayment of the creator rewards it says were obtained through the alleged scheme, along with damages related to fraud and conspiracy.
The particulars of the claim were signed by X Senior Legal Directors Diego de Lima Gualda and Adam Mehes.
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