YouTube star Logan Paul has once again made headlines, this time for setting a Guinness World Record by selling his rare Pikachu Illustrator Pokémon card for a staggering $16.492 million. The card, one of 39 created in a 1990s competition, was auctioned through Goldin and won by AJ Scaramucci, son of financier Anthony Scaramucci, outbidding several others who made offers in the seven- and eight-figure range.
A Profitable Venture
Paul’s sale of the PSA-10 Pikachu Illustrator card marks a significant profit for the YouTuber, who originally purchased it for $5.3 million in July 2021. After auction fees, Paul is believed to have made an $8 million profit. However, the record sale has also reignited criticism over his previous controversial move to fractionalize ownership of the card on the Liquid Marketplace in 2022.
Controversy and Criticism
The sale has brought back scrutiny over Paul’s past NFT endeavors, particularly the fractionalization of the Pikachu card. In 2022, Paul fractionalized ownership of the card, allowing a small percentage of it to be owned by investors through NFTs on the Liquid Marketplace. However, the platform went offline, leaving investors without access to their funds and prompting a lawsuit in Canada.
Gabriel Shapiro, general counsel at Delphi Labs, criticized the move on X, calling it a “classic case of ‘slop tokenization.’” Shapiro noted that the token was “basically just ‘juxtaposed’ with property but has no rights to it,” urging investors to read the terms of service and avoid rushing into “legal scams.”
Paul addressed the criticism, stating that the Liquid Marketplace went offline due to issues beyond his control. Once aware of the problem, he paid to restore the site to allow users to withdraw their funds. Only 5.4% of the card was fractionalized to owners who paid about $270,000, he noted.
A Pattern of Controversy
This is not the first time Paul has faced scrutiny over his involvement in NFTs. His CryptoZoo NFT project, which promised a play-to-earn game, failed to deliver, leading to investor backlash and a class-action lawsuit in 2023. Paul eventually set up a buyback program and paid investors back after they agreed to waive legal claims, and the lawsuit was dismissed in 2025.
Other NFT investments by Paul have also flopped, including an anime-style digital avatar from the 0N1 Force collection, which he bought for around $635,000 in 2021 and is now valued at under $2,000.
NFT Market Woes
The record-breaking Pokémon card sale stands in stark contrast to the broader NFT market, which has been struggling. While the NFT market started strong in the first two weeks of 2026, the total market cap has since fallen by more than 50%, from $3.2 billion to $1.55 billion, amid a broader market pullback.
Several high-profile NFT marketplaces, including Rodeo and Nifty Gateway, announced in late January that they would wind down operations, adding to the sector’s string of closures. This trend highlights the challenges facing the NFT market, which has seen a significant decline in investor interest and value.
Looking Forward
Despite the controversies and market challenges, Paul’s sale of the Pikachu Illustrator card underscores the enduring appeal of rare collectibles, even in the digital age. However, it also serves as a cautionary tale for the NFT market, highlighting the importance of transparency, legal clarity, and consumer protection. As the market continues to evolve, stakeholders must navigate these issues to ensure sustainable growth and innovation.
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