Abdullahi
Another fraudulent operation in the budding space that has seen a large number of victims is rug pulls.
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Rug pulls or exit scams are schemes where crypto founders launch lucrative projects, offer guaranteed returns on investment, let the project gather steam and attention and suddenly leave with investors money.
The crypto scene has had a lot of ups and down since its coming of age, but a new report has shown that May was filled with exit scams, known as rug pulls.
A report by blockchain security firm, Beosin, reveals that over 45 million was lost to these exit scams while exploits on DeFi protocols were less than half that amount over the same period.
As the cryptocurrency industry continues to grow, hacks, exploits and other forms of fraudulent activities have accompanied its expansion.
Keypoints
- Technext Newsletter
- More on Mays rug pulls
- DeFi exploits decline
- The shift from DeFi exploits to Rug Pulls