Logan Paul is facing renewed criticism from the Pokemon and trading card community following the record-breaking $16.5 million auction of his PSA 10 Pikachu Illustrator card. The controversy centers on allegations that he profited enormously from a card that investors believed they partially owned through his Liquid Marketplace platform.
In 2022, Paul launched Liquid Marketplace, partnering with others to create a platform where investors could purchase fractional shares of high-value trading cards and sports memorabilia using blockchain technology. The major selling point was Paul’s offer to sell 51% ownership of the Pikachu Illustrator, described as the most sought-after Pokemon card in existence.
Paul promoted the venture extensively, repeatedly identifying himself as co-founder and promising community involvement in decisions about displaying the card.
Years later, the platform collapsed entirely, with lawsuits filed against the venture. Paul claimed he repurchased the fractional portion of the card in May 2024 for the original price, consistent with Liquid Marketplace terms. However, his recent announcement of auctioning the same card through Ken Goldin’s platform triggered outrage from those who believed they still had ownership stakes.
The situation worsened when Paul promoted the auction heavily while blocking critics who questioned what happened to the fractional owners. He posted promotional content celebrating his $5.3 million purchase and the card’s appreciation, positioning himself as the sole owner despite the previous fractional sales.
During the auction viewing session, Paul celebrated as bidding reached the final price of $16.5 million, setting a new world record for the most expensive trading card ever sold. The buyer, who identified himself as being on a “planetary treasure hunt,” became the new owner while Paul received a Guinness World Record certificate.
In response to mounting criticism, Paul clarified that only 5.4% of the card was actually sold for approximately $270,000 in summer 2022, far less than the planned 51%. He stated he bought back this portion in May 2024 for the same price and made funds available for withdrawal. Paul explained that the Liquid Marketplace site went offline, but he personally paid to restore access so users could withdraw their money.
Critics argue that regardless of the percentage sold, Paul should compensate original investors proportionally based on his profit from the auction. If Paul made five times his investment, they contend, original investors should receive five times their contributions rather than just their initial amounts returned.
Adding to the controversy, Paul announced a new platform called Rip It during the auction livestream, which critics say bears concerning similarities to Liquid Marketplace. The platform promises users access to packs representing real graded cards with storage and shipping options, along with a referral-based leaderboard system.
Adding to the controversy, fresh allegations have emerged suggesting Logan Paul may have also profited from prediction markets tied directly to the auction. Social media users claim that an account on Polymarket made roughly $300,000 by correctly predicting the outcome of Paul’s Pikachu Illustrator sale.
What raised eyebrows is that the account’s profile picture appears identical to one Paul himself used in a promotional Polymarket video. Since Polymarket avatars are typically algorithmically generated and highly unique, critics argue the match is extremely unlikely to be a coincidence.
While Paul maintains he operated within legal parameters and has made investor funds available for withdrawal, many feel the handling of the fractional ownership and the enormous profit he secured represents a moral failure, regardless of technical legality.
