Phantom faces backlash for allegedly misleading investors over Ace of AI partnership

Phantom, a distinguished multi-chain crypto pockets supplier, confronted criticism after their social interplay with Ace of AI, which many interpreted as a proper partnership between the 2 tasks, led to confusion and investor losses.

On Jan. 9, Ace of AI introduced on X that they have been “excited to accomplice with Phantom” as a part of the Phantom embedded early entry program. Phantom replied to Ace of AI’s tweet with a collection of emojis that have been interpreted as an official partnership.

The announcement led to a surge within the value of Ace of AI’s token, ACE. In line with data from GeckoTerminal, the token rocketed to $0.017 following the information.

Phantom later deleted the remark and clarified in a separate assertion that Ace of AI was merely utilizing their embedded pockets product and that no partnership or endorsement existed. They stated they have been unaware their service could be used to endorse any token.

There is no such thing as a partnership. @Aceofai is simply utilizing our embedded pockets product. We’re NOT endorsing any token and weren’t conscious we’d be used to take action.

— Phantom (@phantom) January 9, 2025

ACE’s worth shortly plummeted after Phantom’s clarification. At the moment, it’s buying and selling at roughly $0.0005, down over 90% from its preliminary rally.

Customers on X began confronting Phantom and questioning their communication strategy. Many buyers reported that they felt misled by the perceived affiliation between the 2 firms and suffered monetary losses.

If there isn’t a partnership, why did @adamdelphantom retweet the 👻🤝♠️?

0 apologies or duty taken by @phantom

We’re actually getting RUGGED over right here resulting from your incompetence https://t.co/8QAAxUWQ0g

— Psycho (@PsychosCalls) January 9, 2025

Phantom simply rugged everybody and pulled out $400k from the chart pic.twitter.com/m8nqz4sA5a

— lynk (@lynk0x) January 9, 2025

Share this text