Creators of SudoRare protocol have withdrawn $845 000 in cryptocurrency from the project

Funds in ETH were divided into equal amounts and sent to three cryptocurrency addresses

23.08.2022 - 14:45

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2 min

What’s new? The founders of the SudoRare Automated Market Maker (AMM) protocol for exchanging ERC-721 tokens for ERC-20 have implemented a fraudulent Rug Pull scheme and withdrew 519 ETH worth $845 310 (according to Binance exchange rate as of August 23 at 13:50 UTC) from the project. They shut down the site and deleted their social media accounts. The information was shared on Twitter by analysts at cybersecurity company PeckShield. The stolen funds were divided equally and transferred to three addresses, 173 ETH each.

#PeckShieldAlert #rugpull Seems like @SudoRare rugged 519 $ETH (~$815k). SudoRare already deleted its social accounts/groups, sudorare[.]xyz is downStole funds already transferred to 3 new addresses (173 $ETH/address):0x75c3b2...39810x0498d1...80740xbFb784...7EAa https://t.co/mPC4bl4k6W pic.twitter.com/O5D7jThYvm— PeckShieldAlert (@PeckShieldAlert) August 23, 2022

Rug Pull is a type of scam in which developers abandon a project, fail to deliver on promises, and take investors' money. Having raised enough money through the PR of the roadmap, which implies sustainable development, the scammers delete the social media and leave the project without support, leaving investors with devalued tokens.

Earlier, PeckShield experts suspected the developers of blockchain game Dragoma (DMA) of implementing this scheme. On August 8, its native token, DMA, plummeted 99,9%. The project's assets were moved to centralized exchanges, and the company's official website was down. Its social media channels were also deleted.

On July 25, investors in the meme-token Teddy Doge (TEDDY) also fell victim to fraudsters and lost a total of $4,5 million. According to PeckShield, the developers of the project used the Rug Pull scheme.

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