Project Devs From the Arbitrum And Solana Ecosystems Disappeared With Users' Money
Last night, two major rug pulls took place. The developers of the Arbitrum-based project took users' money totaling $1.24 million and disappeared. The MangoFarmSOL team stole $2 million from their community.
Vanished kingdom
Vietnamese gaming crypto project xKingdom, based on the Arbitrum network, has suddenly shut down, according to reports from online users. Users believe that the team stole their staked ETH, converted it to USDT and transferred it to the Ethereum network. In total, the scammers managed to steal 552 ETH, which is roughly $1.24 million. The stolen funds are stored in an Ethereum wallet, a portion of which was withdrawn via crypto mixer Tornado Cash.
Cyvers, a company specializing in cryptocurrency security, is the first to report a rug pull. There is a chance that some funds are possible to recover, as the money is held on centralized exchanges. The rug pull is also indicated by deleted X accounts and a blocked official xKingdom website.
🚨ALERT🚨Our AI powered system has detected #rugpull transaction on $XKING at https://t.co/5eZGuNoeRE
— 🚨 Cyvers Alerts 🚨 (@CyversAlerts) January 7, 2024
Address on $ARB bridged all funds to $ETH at https://t.co/tcNK673PHS
$1.24M have been deposited to @TornadoCash at https://t.co/YP3S3UjacT
Their X address, website, telegram… pic.twitter.com/kymXL2Ocvx
Over the past 24 hours, the native token of the Arbitrum ecosystem, ARB, fell by 6.78% and was worth $1.66 at the time of writing.
Source and Copyright © TradingView
Missing mangoes
Another alleged rug pull that occurred last night has affected the Solana ecosystem. Farming protocol MangoFarmSOL deactivated all of its social media accounts after users accused the project of stealing funds totaling $2 million.
I lost 100 sol in mango farm this is outrageous
— 0xMessi (@1goonrich) January 6, 2024
Back on January 6, the security auditor of MangoFarmSOL reported that the project had been hacked. On January 10, airdrop of the MANGO token, which promised high revenues, was supposed to take place. To join the MangoFarmSOL project, users were advised to fund their Solana wallets. According to some experts' reports, the scammers withdrew 2 million dollars from the protocol.
Following the news of alleged fraud by the project team, some users took to X to reveal other details. For example, one of the developers admitted to being coerced into creating Ponzi schemes.
Over the past 24 hours, SOL has dropped 3.74% and at the time of writing, its price stands at $90.50.
Source and Copyright © TradingView
