Blockchain security firm PeckShield Inc. unearthed a significant rug pulls in the Symbiogenesis ($SYSIS) token, resulting in a loss of $53.7K. This incident comes just days after another rug pull saw significant losses.
PeckShield’s tweet alerts of a -100% drop in the value of Symbiogenesis ($SYSIS). The wallet address 0x8B54…8cca executed a swap, converting 99,999,999,999,999 $SYSIS for 26.67 $WETH (~$53.7K). The unique challenge here is that rug-pull tokens may deliberately share names with legitimate ones, intensifying the risk for unsuspecting investors.
Rug Pull Epidemic: Widespread Impact on Crypto Investors
PeckShield unveiled thirteen rug pull scams in another comprehensive report, collectively leading to $2.7 million in investor losses. The term “rug pull” refers to unscrupulous project creators enticing investors only to abscond with their tokens, leaving a trail of financial damage.
The on-chain watchdog caution extends beyond the Symbiogenesis ($SYSIS) rug pull, highlighting fraudulent tokens’ deliberate mimicry of names. Investors are urged to exercise caution and diligence in distinguishing between authentic assets and their deceptive counterparts.
The ripple effect of rug pulls extends beyond Symbiogenesis, with scams involving TrustPad (TPAD), Dark Protocol (DARK), GigaDAO (GIGS), and Web (WEB). These projects collectively swapped tokens for nearly $1 million in wrapped BNB (WBNB), witnessing an immediate 100% drop in value, leaving investors with substantial losses.
PeckShield’s report identifies a range of tokens victimized by rug pulls, including Creso (CRE), IPMB (IPMB), DigiFund (DFUND), Changpeng Zhao (CZ), Jewels (JWL), Papabear (PAPA), AI Surf (AISC), and Squid Game (SQUIDGAME). The creators traded these tokens for packaged BNB and ETH, resulting in a total loss of $2.7 million for token holders. The crypto community faces an ongoing challenge of distinguishing between legitimate and deceptive projects amidst the evolving landscape.
