The altcoin market is witnessing a new fraud case. WhaleFarm, a DeFi project that makes big promises, is causing another “rug pull” thing. The altcoin price dropped 99 percent after this event.
WhaleFarm Token is the newest scam to hit investors
WhaleFarm, a DeFi project with a completely anonymous team that launched Farming days ago, has stolen more than $2 million from investors in the industry’s latest rug pull. As expected, the value of the project’s native cryptocurrency dropped almost 100% within minutes. Let’s examine the details of this event together…
- Launched earlier this month, WhaleFarm started trading with high promises to investors as it offers the opportunity to earn up to 7,217,848% APY by staking multiple cryptocurrencies, including BNB, BUSD, USDT, BTC, ETH, ADA, DOT and LINK.
- While this percentage sounds too good to be true, the project has actually seen some growth and the native cryptocurrency WhaleFarm Token has gained in value.
- This turned out to be a scam, as sometimes happens in the DeFi market, especially since the promised returns are disproportionate.
- As popular crypto commentator Mr.Whale noted, there were already warning signs. Except for the promised 7,217,848 APY, the team was completely anonymous.
WhaleFarm Token is the most recent scam to pull the rug on investors. It's estimated they stole over $2.3 million.— Mr. Whale (@CryptoWhale) June 30, 2021
– Fully anonymous team
– Promised 7.2 million % in returns
– The token is now down -99.99%
– Twitter page deactivated
– Telegram group deleted pic.twitter.com/Ye6CZ9HgUt
The same team also deleted the Twitter page and the official Telegram group, which can serve as proof that this is indeed a “carpet pull”. Initial estimates put the amount stolen at around $2.3 million.
As the chart below shows, WhaleFarm Token has dropped almost 100% minutes after the event and is currently still trading below $0.20.
As mentioned above, “carpet pulling” is not uncommon in the cryptocurrency market.
As Cryptokoin.com has previously reported, similar events have occurred in the market in the past.
One of them came from TurtleDex, which poured $2.5 million into Binance Coin. Before that, there was Meerkat Finance, which stole around $30 million in BUSD and BNB from investors.
Uranium Finance was one of the newest examples of carpet pulling at the end of April, with around $50 million.
Hello there! My name is Oktay from Tokensboss editors. I introduce myself as a business graduate and writer. I have been doing research on cryptocurrencies and new business lines for over 2 years.