How Nelk Boys and Full Send Orchestrated a Massive Rug Pull Thanks to Gary Vee
Gary Vee, a digital marketing guru, social media personality, and a sworn ambassador for NFT’s planted a milliоn dollar idea in the minds of the Nelk Boys. Drawing on his extensive experience in the NFT space, Gary Vee shared valuable insights during his appearance on their podcast, explaining the lucrative potential of blockchain technology and digital collectibles in particular.
The result? Nelk raked in $23 million for an NFT collection and disappeared.
An Idea Takes Shape: How Gary Vee Influenced the Nelk Boys
The Nelk Boys are a Canadian-American entertainment group known for their viral prank videos, vlogs, and high-energy content. Founded by Kyle Forgeard and Jesse Sebastiani, the group has built a substantial following on YouTube and other social media platforms. Their content often features elaborate pranks, social experiments, and behind-the-scenes looks at their wild adventures.
Full Send is the brand associated with the Nelk Boys, representing their broader business ventures and lifestyle. It encompasses their merchandise line, which includes clothing and accessories, as well as their involvement in various entrepreneurial activities, such as events and collaborations. Full Send has become synonymous with the Nelk Boys’ fearless, fast-paced approach to entertainment and branding.
In 2022, the Nelk Boys invited Gary Vee to join their Full Send Podcast, where the discussion centered on how Gary had made $90 million through NFTs and their potential to transform the world.
Gary Vaynerchuk, better known as Gary Vee is a prominent entrepreneur and digital marketing expert who has become a significant figure in the Non-Fungable Token world. As the CEO of VaynerMedia and a vocal advocate for digital innovation, Gary Vee has leveraged his expertise to champion the potential of NFTs.
He has been instrumental in educating the public and businesses about the value and opportunities within the NFT space, using his platforms to promote and discuss the transformative power of digital assets. Through his ventures and thought leadership, Gary Vee has played a key role in driving interest and investment in NFTs, helping to shape the industry’s growth and evolution.
At the time, the Full Send gang was relatively inexperienced in digital assets, and Gary’s role was to introduce them to the realm of NFTs and unveil the vast opportunities for substantial earnings.
The Nelk Boys soaked Gary’s knowledge while he covered points such as personal success, innovation, long-term vision, and future impact. At one point, Gary shifted his focus to criticize individuals who orchestrated a major launch and then abruptly disappeared, blaming the market. In his words:
“If you guys do a project and you launch, and you do a 13 million on the launch and then royalties, but then you abandon it and just do something else, your lives change, you decide….which I don’t think you’ll do based on what I’ve watched, but if you did – somebody’s going to tweet ‘Man, that was fucked up what those people did’”
The Nelk Boys then conveyed their desire to be transparent and to create something that would genuinely benefit their 8 million supporters at the time, rather than pursuing a short-lived, one-hit-wonder venture:
“We have a very loyal fan base and we haven’t launched anything yet because we are very mindful of when we launch, you know, what do they get other than ‘the flex’.”
In the present day, many are wondering if this statement was aligned with the events that followed.
From Concept to Cash: Full Send Launch Rakes $23 Million In Minutes
In January 2022, shortly after the podcast aired, armed with newfound insights into NFTs, it was a no-brainer for The Nelk Boys to launch their new NFT collection Thus, the Full Send MetaCard was introduced, accompanied by numerous promises and significant opportunities for potential holders.
A screenshot from the original mint site:
The Full Send MetaCard NFT was available for minting at 0.75 ETH, roughly $2,300. The demand was so high within their community that the entire collection sold out in under 10 minutes, netting over $23 million in one fell swoop.
Purchasers of the Full Send MetaCard NFT were promised exclusive access to the influencer group’s activities both in the real world and in the Metaverse. Additionally, the company revealed ambitious plans to branch out into various business ventures, including lounges, gyms, festivals, casinos, restaurants, and more. So what happened?
Missing Millions and the Search for Answers
Two years later, with no gyms launched and around 10,000 people seeing no return on their investment, the entire operation begins to look rather suspicious.
Internet sources disclose what the Full Send MetaCard holders actually received:
- One holder received $100,000
- One individual was awarded a Rolex (~$12,000)
- Merchandise and gift cards totaling $250,000
- 500 Alien Frens Collab NFTs (at no additional cost)
Among the initiatives undertaken were a Snoop Dogg concert (attended by only 300 out of 7,000 holders), various meetups, giveaways, and a 50% discount on Full Send Supplements, which have since been discontinued.
People are now questioning where the rest of the money went. Allegedly, the funds were invested in a new business venture.
In 2023, Nelk announced that holders would get 40% phantom shares in their new company, Bored Jerkey. They also offered a refund option.
Investors were emailed with two options and a one-month deadline: complete a refund form or sign a contract to receive phantom shares. Many holders missed this email. Those who didn’t, soon discovered that selecting the refund option required having a US bank account. This meant holders outside of the US had no chance to recover their investment.
According to some accounts, the contract for MetaCard NFTs, was alarmingly long and confusing. A Reddit user summarized some of the points covered in it:
Expiration Date: This contract lasts until the earliest of either 10 years after it starts or when all payments owed to participants are made.
Vesting: Your rights to the stock become fully active when certain conditions are met, primarily involving the company’s sale. You get full rights earlier if you refer three new customers to the company before that sale.
Confidentiality: You must keep all details about this agreement and related documents confidential. You can share them with your legal, financial, or tax advisor, but they must also keep it confidential.
Legal Release: By signing, you agree not to sue the company for any reason related to events before signing, except for things that can’t legally be waived.
Overall, the contract details rights to possible future benefits depending on the company’s performance, but it also imposes confidentiality requirements and restricts users’ ability to pursue legal action against the company later on.
Nelk Boys Trap Users in a Rug Pull
Unfortunately, three months after the initial announcement, the Bored Jerky stats were less than promising:
- Monthly website visits: 134 (average)
- Amazon Reviews: 101
- Amazon “Jerky” category rank: 321
- Total followers (TikTok, 𝕏, Instagram): 8,906
The catch in the operation was that holders would only receive money if The Nelk Boys sold the company or secured venture capital funding. This means there’s no way to predict if or when investors might see any returns on their shares.
As of July 2024, the Nelk Boys continue to be on a roll with anything but the MetaCards NFTs, leaving fans, holders, and many in the crypto community in distress and wondering where the $23 million generated in sales actually go..
The group has been successfully advertising its Alien Frens NFT, Bored Jerky products, and Happy Dad beverages on X. Most recently, SteveWillDoIt, a prominent and controversial member of Full Send, launched a new crypto token called $HERO.
HERO coin is marketed as a token that will genuinely benefit its holders rather than being another rug pull. However, Steve’s association with the Nelk Boys and his notorious reputation have led some to question whether this will turn out to be just another orchestrated pump-and-dump scheme.
The Dark Side of Influence: Celebrity Endorsements in the Crypto World
The Nelk Boys’ Full Send MetaCard project illustrates how influential personalities can leverage their status to launch ventures that fail to deliver on their promises. By enticing millions with assurances of exclusive perks and substantial returns, they secured significant investments, but many wondered where the money had gone.
A similar scenario unfolded with pop star Jason Derulo, who introduced his crypto token, JASON, to his 3.5 million followers. When the coin’s value sharply declined, Derulo bagged around $1 million and shifted the blame to the controversial crypto figure Sahil Arora.
As we navigate this rapidly changing landscape, it becomes imperative for investors to approach opportunities with a critical eye, especially when influencers and celebrities are involved.
The combination of their substantial reach and the evolving nature of digital assets creates a potent environment for both innovation and deception. Awareness and caution are key as we continue to grapple with the implications of the Web3 world, ensuring that we can distinguish genuine opportunities from those that are merely elaborate schemes designed to line the pockets of a few influential figures.
