A November 4, 2025 report carried by Yahoo Finance described the reaffirmed dismissal of Logan Paul from the CryptoZoo class-action lawsuit. According to the report, a US magistrate judge reaffirmed the dismissal after finding insufficient evidence connecting Paul to the alleged misconduct.

The civil suit stemmed from CryptoZoo, a non-fungible token (NFT) game Paul promoted in 2021. Investors alleged fraud, breach of contract, unjust enrichment and conspiracy to commit fraud after the project failed to deliver. The outcome underscores how high-profile promotion of a token project can attract class-action scrutiny when a venture fails, while liability in court still hinges on evidence connecting a specific defendant to the alleged misconduct.

Court Filings Reaffirm Dismissal

The Yahoo Finance report, syndicated from CCN, said court filings reviewed in late October reaffirmed Paul's dismissal from the case. In August, the judge found that plaintiffs had “failed to justify” naming him as a defendant.

According to the November 4 report, Paul announced the outcome the week prior. The article described the ruling as ending his involvement in the class action, which was filed in early 2023. The dismissal was attributed to insufficient evidence directly tying Paul to the alleged misconduct.

Paul's defense attorney, Jeffrey Neiman, celebrated the ruling in a LinkedIn post. Neiman said informing Paul of the magistrate judge's dismissal recommendation shortly after his wedding was an unforgettable moment. In US federal practice, magistrate judges typically issue recommendations that district judges review before they take final effect, a procedural step Neiman's post referenced directly. The report did not outline any further filings or deadlines in the case.

Investors Had Expected a Playable NFT Game

CryptoZoo promised that users could buy, hatch and trade digital animal NFTs for profit. According to the report, despite raising millions of dollars through NFT sales, the project never delivered a playable game. Developers later claimed they had not been paid, and community members publicized the fact that promised features had not been implemented.

The venture collapsed, the report said, leaving investors holding worthless tokens. The class action sought damages on behalf of thousands of participants who claimed financial losses. YouTuber and attorney Tom, known online as Attorney Tom, filed the lawsuit in February 2023, naming Paul and several associates in connection with the failed project. As described, the ruling concerned Paul's role in the litigation rather than the other named defendants.

Criticism Continued After the Ruling

In December 2022, investigator Coffeezilla released a three-part exposé alleging that CryptoZoo was a rug pull and that Paul had misled his followers. Paul issued an apology video in early 2023 and promised to refund affected users from his own pocket. The report that promise without establishing that every affected participant ultimately received repayment.

YouTuber Scott Shafer criticized the judge's understanding of NFTs and cryptocurrency in a recent video, according to the report. The article emphasized that this criticism reflected Shafer's opinion about the proceedings rather than a finding by the court.

The October ruling reaffirmed Paul's dismissal from the CryptoZoo class action, according to the syndicated report, which cited the investors' allegations and the project's failed game as the basis of the dispute.