• PeckShield, a blockchain security firm has reported rug pulls in several cryptocurrency assets. 
  • Exploiters have swapped $2.7 million worth of rug-pulled tokens for wrapped Ether and wrapped BNB. 
  • Rug pulled tokens, including TPAD, DARK, GIGS, CRE, and DFUND share the same name as legitimate ones. 

PeckShield Inc, a blockchain security company, identified a series of rug pulls in cryptocurrency projects on Friday. A ‘rug pull’ is when fraudulent developers lure investors to projects, only to con market participants and disappear with funds, leaving the token worthless. These sorts of crimes are now rampant in the crypto ecosystem. 

PeckShield reports rug pull scams

In a series of tweets on the social media platform X, PeckShield identified a total of $2.7 million in rug pulls by malicious developers. 

The firm alerted traders that some of the rug pull tokens imitate and have the same name as legitimate assets on the blockchain. It's therefore important to note the difference between the worthless asset and the original one that holds value and is legitimate.

RepubliK (RPK) suffered a 100% decline in its price as the exploiter swapped 100 quintillion (100,100,100,100,100,100,100.1001 RPK) tokens for $236,000 in wrapped BNB (WBNB) – ‘wrapping’ is a term used to describe the process by which tokens can be swapped for each other across different protocols.

The exploiters of the fake version of TrustPad (TPAD), and Dark Protocol (DARK), GigaDAO (GIGS) and Web (WEB) exchanged the tokens for $928,800 in WBNB. These tokens lost 100% of their value nearly instantly.

Creso (CRE), DigiFund (DFUND), Changpeng Zhao (CZ), Jewels (JWL), Papabear (PAPA), AI Surf (AISC) and Squid Game (SQUIDGAME), are other tokens that were targets of rug pull scams, according to PeckShield’s report.

The developers exchanged these tokens for wrapped BNB and ETH, for a total of $2.7 million. The holders of the affected tokens are left with tokens that have no exchange value.

In its original report, PeckShield also included the token IPMB (IPMB) on the list as the team behind it pulled liquidity from the pool on Binance Chain, sending the token's price to zero. However, IPMB told FXStreet that, following the incident, the token migrated from the Binance Chain to Polygon and reimbursed users. On-chain data from PolygonScan and BSCScan confirms the new IPMB token’s deployment on Polygon and its distribution to different wallet addresses. 

(This story was updated on October 15, 2024, to reflect that the IPMB token was removed from the original PeckShield list and that the team behind the project reimbursed users.)


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.

More Altcoin News
Shanghai court confirms legal recognition of crypto ownership

Shanghai court confirms legal recognition of crypto ownership

A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.

More Cryptocurrencies News
BTC hits an all-time high above $97,850, inches away from the $100K mark

BTC hits an all-time high above $97,850, inches away from the $100K mark

Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.

More Bitcoin News
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.

More Shiba Inu News
Bitcoin: New high of $100K or correction to $78K?

Bitcoin: New high of $100K or correction to $78K?

Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP