Dragoma blockchain game token collapses by 99% due to stolen assets

Analysts at cybersecurity company PeckShield suggest that the developers of the project are behind the withdrawal of funds

08.08.2022 - 11:10

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2 min

What’s new? The native token of blockchain game Dragoma (DMA) plummeted 99,9%, dropping from $1,8 to $0,0015. According to analysts at cybersecurity firm PeckShield, the project's assets have been moved to centralized exchanges, and the company's official website is down. Social media channels have also been removed. At the moment, the amount of funds withdrawn has not been announced. Analysts suspect the developers of the project in a scam using the Rug Pull scheme.

#PeckShieldAlert #rugpull Dragoma $DMA on polygon rugged. $DMA has dropped -99.7%.The website https://t.co/2OJWlGqBtQ seems down and the social media channel deleted. The stolen funds seem like deposit into centralized exchanges. pic.twitter.com/ksJifCo0GH— PeckShieldAlert (@PeckShieldAlert) August 8, 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.

What is known about Dragoma? It is a blockchain game running on the Polygon network. In it, players could create teams to raise and train dragons, as well as compete against each other, receiving rewards for gameplay achievements.

Cryptocurrency exchange MEXC announced the suspension of DMA token trading “due to abnormal on-chain transfers.”

In July, PeckShield warned of fraudulent DeFi projects Raccoon Network and Freedom Protocol. Experts discovered addresses allegedly associated with the projects from which 20 million Binance USD (BUSD) stablecoins were transferred.

Later, investors in the Teddy Doge (TEDDY) meme token, created on the Binance Smart Chain (BNB) blockchain, fell victim to fraudsters and lost a total of $4,5 million. According to PeckShield, the developers of the project also took advantage of the Rug Pull scheme.

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