- Blockchain investigator ZachXBT has revealed a new scheme used by web3 scammers
- He revealed that malicious actors are now developing DeFi platforms and conducting rug pulls
- The scammers use less known smart contract auditing first to lure victims using false audit reports
Malicious actors in the web3 space are changing their tactics in a bid to lure more victims. According to blockchain sleuth ZachXBT, scammers are now developing DeFi protocols and marketing them with false audit reports from less-known smart contract auditing firms. The scammers wait until unsuspecting users deposit a sizable amount before conducting a rug pull, something that deviates from the recent trend of hacking social media accounts of prominent entities and directing followers to crypto wallet drainers.
False User Activity
In an X post, ZachXBT disclosed that scammers are using illicit wealth to fund their new tactic. He warned that the malicious actors are behind Blast-based Leaper Finance, adding that the group is also behind the loss of funds from other DeFi platforms like Kokomo, Lendora and Magnate.
Community Alert: The group of scammers who stole 8 figs with Magnate, Kokomo, Lendora, Solfire, etc is back with a new project on Blast @Leaperfinance
Last week they funded an address on Blast with ~$1M of laundered funds from the previous rugs and have begun adding liquidity… pic.twitter.com/yqRKvZuuye
— ZachXBT (@zachxbt) April 14, 2024
ZachXBT also noted that the group operates DeFi platforms spread across multiple blockchains, such as Solana, Ethereum scaling layer Optimism and upcoming networks like Scroll.
The group is further confusing unsuspecting users by adding liquidity to these platforms to portray false user activity. In one such instance, according to ZachXBT, they added $1 million to Leaper Finance. Leaper Finance has since deactivated its X account following the on-chain sleuth’s revelation.
Although rug pulls have been associated with malicious developers, they weren’t thought to be orchestrated by a dedicated group of scammers, as has been revealed by ZachXBT.
Romantic Links among Scammers’ Favorite Tactics
MangoFarmSOL is among the latest projects suspected to have rugged users after the platform’s social media accounts went dark. The new tactic comes as malicious actors in the web3 space are looking for easy ways to steal crypto, with some even cultivating romantic relationships to lure victims.
With ZachXBT exposing a number of DeFi platforms operated by scammers, it’s likely they’ll shut down the platforms before users get a chance to withdraw their funds.
