WXETA
Last changed 2026-10-10 · Score recalculated — Rescored under Scoring v2, the published formula (avoid.net/scoring): 22 → 26. Problems weighed by who is responsible: the subject's own conduct −40, concerns that are not fraud −3.2, problems around the subject, caused by others −0.8; legitimacy credit long-running +4; no established finding that it defrauded anyone, so it stays out of the red band. Version history →
Why this score
| Every page starts at | 65 |
| The subject's own conduct | -40 |
| Concerns that are not fraud | -3.2 |
| Problems around it, caused by others | -0.8 |
| Long-running | +4 |
| Sum | 25 |
- No established finding that it defrauded anyone, so it stays out of the red band (26 or above).
Score: 26/100 (kept between 0 and 100)
How scoring works →Summary
WXETA (Wrapped Xeta) is an ERC-20 token deployed on Ethereum using a Diamond (EIP-2535) upgradeable proxy architecture, associated with XETA Capital / XETA Genesis — a DeFi yield platform incorporated in Belize that claimed up to 20% monthly returns via high-frequency trading algorithms. The underlying XETA ecosystem is named as a co-defendant in a federal civil RICO lawsuit filed in January 2025 alleging tens of millions of dollars in investor fraud, and ZachXBT has flagged the entity. The platform ceased onboarding new members at end of 2023 and converted member positions into non-liquid NFTs, leaving the withdrawal status of the bulk of investor funds disputed.
Connected Entities
3 entities · 60 linked investigations- WXETA→mentioned with→Ethereum(70%)
- WXETA→mentioned with→ZachXBT(70%)
- ZachXBT→mentioned with→Ethereum(70%)
Timeline(8 events)
May 2022
XETA Capital LLC allegedly formed shortly after funds were misappropriated from Phoenix Community Capital, per the civil lawsuit complaint.
July 2022
XETA Capital / XETA Genesis officially launched under Gavin Minty and Matthew Sgherzi (@Shotime2kX), offering up to 20% monthly returns on USDC deposits.
26 October 2023
XETA Genesis published promotional press releases claiming $62M in assets under management and $44M returned to investors, covered as paid content by CoinJournal, Invezz, Cryptopolitan, and other crypto media outlets.
31 December 2023
XETA ceased onboarding new members and stopped accepting new capital contributions, transitioning to a 'private fund' model. Member positions converted to NFTs.
8 January 2024
XETA announced 'The XETA Fund Goes Private,' consolidating all member Genesis Accounts and Pools into unified NFT positions on Ethereum, with quarterly stablecoin payouts beginning April 2024.
April 2024
First quarterly airdrop payout scheduled per XETA's public announcement. No independent confirmation of payment found in publicly indexed sources.
8 January 2025
Federal civil lawsuit filed in the U.S. District Court for the Middle District of Tennessee (Riley et al. v. Phoenix Community Capital et al., Case 3:2025-cv-00036). XETA Capital LLC named as a co-defendant alongside Phoenix Community Capital, Gavin Minty, Matthew Sgherzi, Eric Marshall, and Daniel Ianello. Plaintiffs allege RICO violations, securities fraud, and common law fraud.
10 January 2025
Bloomberg Law and Law360 report on the federal lawsuit, describing the alleged scheme as 'tens of millions of dollars' in investor fraud involving fabricated partnerships with Netflix and the Thai government.
Decision Log
- slot 455360885 · hash CmP7JaMVn5ufLtyKku9o7Anrr3dReV4TLRm7nWCTbzi7
- slot 423089303 · hash 6mDrAguHKd7uGHQ2t6HJc3w3JGmVZWN1WMRXGSgHJjvb
This investigation is cryptographically anchored to the Solana blockchain (2 decisions). 14 of 19 cited source URLs have an Internet Archive snapshot.
model: claude-sonnet-4-6
generated: 5/4/2026, 2:54:29 AM
last updated: 10/10/2026, 6:41:44 PM
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