InfoFi spam are inorganic, AI-driven engagement campaigns that game reward systems on content-monetization platforms. These campaigns prioritize volume over quality, inflate tokenized payouts, and can distort discovery—investigations by ZachXBT and commentary from industry figures show moderation gaps need urgent fixes.
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InfoFi spam inflates engagement metrics to capture creator payouts.
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Investigations link some wash-trade and anime-NFT activity to larger security incidents, including a 2024 hack.
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Platform product leads and developers warn current monetization systems may incentivize low-effort, high-volume posting.
InfoFi spam: Expert reporting on AI-driven engagement scams and policy fixes—read COINOTAG’s investigative summary and recommended actions.
By COINOTAG — Published October 16, 2025 · Updated October 16, 2025
What is InfoFi spam and why does it matter?
InfoFi spam refers to inorganic promotions and AI-generated content that game information-finance (InfoFi) reward systems to earn monetized payouts. These campaigns degrade signal quality, reward low-effort posts, and can be tied to broader on-chain misconduct, requiring platform moderation and regulatory attention.
How did recent investigations reveal InfoFi abuse?
Blockchain investigator ZachXBT published evidence linking suspicious accounts and anime NFT wash trades to a 2024 $28 million hack involving Bittensor, reporting that parts of the work led to a whitehat bounty. He documented a verified account, identified as “Vlados,” promoting multiple AI-driven engagement campaigns for tokens such as Quack and highlighted Wallchain trending on X as an example of algorithmic amplification.
“Social media platforms really need to crack down on all of these inorganic AI slop/spam campaigns Inf0F1 projects incentivize.” — ZachXBT (public post on X, October 16, 2025)
How do platforms and experts describe the incentive problem?
Developers and analysts say InfoFi’s reward model often favors quantity over quality. Ethereum developer Osrak observed this has become an “industry for Crypto Twitter,” arguing that current systems cannot distinguish high-quality analysis from automated or low-effort posts. Decentralized market analyst DefiGazer explained that InfoFi platforms can tokenize posts and threads, but payout algorithms commonly prioritize likes, comments, reposts and shares rather than informational depth.
Key data and official commentary — The investigator’s thread connects wash trading patterns to on-chain flows that coincide with prior security incidents (notably the 2024 Bittensor exploit). OpenAI CEO Sam Altman publicly noted the difficulty of distinguishing human-written content from AI-generated posts, reinforcing concerns about platform trustworthiness. Nikiti Bier, X’s Head of Product, acknowledged monetization updates may be encouraging spammers and suggested creator payouts “do more harm than good,” indicating product-level changes are under consideration.
Frequently Asked Questions
Can InfoFi spam be tied to on-chain hacks or financial loss?
Yes. Investigations have linked engagement-farming schemes and wash trades to financial incidents, including a reported connection between anime NFT wash trades and the 2024 $28 million Bittensor hack. Public sleuthing by blockchain researchers has produced on-chain patterns and screenshots that law enforcement and platforms can use for further inquiry.
How can platforms detect AI-driven InfoFi spam?
Platforms can combine behavioral signals (abnormal repost patterns, synchronized posting), on-chain linkage analysis, and AI-detection tools while prioritizing human moderation. Product-level reform of payout algorithms to reward depth over raw engagement also reduces incentives for spam.
Key Takeaways
- InfoFi spam undermines trust: Inorganic and AI-amplified content distorts discovery and monetization fairness.
- Investigations show tangible links: Research by blockchain sleuths tied engagement campaigns and wash trades to significant security incidents.
- Product and policy fixes are needed: Platforms should reform creator payouts, improve detection, and cooperate with law enforcement to limit abuse.
Conclusion
InfoFi spam presents a material challenge for content-monetization ecosystems: it rewards volume over insight and can be associated with on-chain misconduct. Authorities, product teams, and the research community must act—improving detection, redesigning payout structures, and sharing evidence with law enforcement—to restore signal integrity and protect creators. COINOTAG will continue tracking developments and reporting verified findings as platforms implement changes.
