Bankrupt After a $1 Billion Hype? The Real Story Behind Logan Paul’s Prime

Logan Paul is everywhere right now: WWE ring, YouTube, and, yes, the drink aisle. His Prime Hydration brand with KSI blew up fast, which also means it picked up controversy just as quickly. Lately I keep seeing the same question float around: did Prime go bankrupt? Short answer, no. Longer answer, it is very much in the legal blender and that is not cheap.

'No, Prime is not bankrupt.'

Where things actually stand

Prime is not out of business, but the company has been taking hits from multiple directions. Sales boomed and the brand was reportedly on track for $1.2 billion in revenue by the end of 2023. At the same time, lawsuits, regulatory headaches, and a handful of branding disputes have dinged its reputation and, by the sound of it, its bottom line.

The pile-up of legal and regulatory trouble

• PFAS class action: A major lawsuit alleges some Prime flavors contain so-called 'forever chemicals' (PFAS), which would clash with the company’s 'healthy hydration' image.
• Caffeine questions: The brand’s caffeine levels and marketing are under scrutiny, with critics saying the drinks are too strong and pushed toward kids. For context, Prime Energy packs about 200 mg of caffeine in a 12-ounce can — roughly six times a can of Coke. Senator Chuck Schumer has publicly urged the FDA to look into it.
• Refresco contract fight: Prime’s former bottling partner, Refresco, sued over an allegedly broken supply deal pegged at $67.7 million. That case landed in 2024 and immediately became a lightning rod.
• Branding disputes: The U.S. Olympic & Paralympic Committee filed a suit over unauthorized Olympic-themed branding. There are also separate claims that Prime’s trade dress/logo resembles other drinks on the market, including Messi’s Mas+ and X Hydration.
• Global regulator pushback: Authorities in several countries have flagged Prime over labeling and caffeine content. Some markets, including New Zealand and Latvia, have gone as far as banning or suspending imports.

The kid factor (and why it keeps coming up)

Health experts, including the American Academy of Pediatrics, have been blunt about this: children under 12 should not be consuming caffeine at all. When a buzzy energy drink is plastered everywhere by celebrity influencers, it raises eyebrows about who is really being targeted. That uneasy mix of huge social reach and high caffeine content is a big reason politicians and doctors keep weighing in.

Money, vibes, and the 'stock price' confusion

There was a lot of chatter about Prime getting hammered 'in the stock market' after the Refresco lawsuit hit. To be clear, Prime is not a publicly traded company, so you are not checking a Prime ticker. What is fair to say: a $67 million breach-of-contract case is the kind of thing that rattles partners, spooks would-be investors, and makes future deals harder. Legal fights like these can drain cash and momentum even if you eventually win.

So, is the brand in real danger?

Prime is still selling a ton of product, but the wave of lawsuits and government scrutiny is a big credibility test. Allegations about PFAS, fights over logos, and caffeine concerns — plus actual import bans — threaten market access, brand trust, and long-term stability. None of this means the lights are going off tomorrow, but it does mean the ride is bumpy and expensive.

Bottom line: Prime is not bankrupt. It is a monster success story dealing with monster-sized problems, and those problems could shape where this brand is allowed to sell — and how it markets — for a long time.