24/08/2022 NFT Project SudoRare Disappears With Roughly 520 Ethereum in User Funds
Despite warnings on Crypto Twitter, NFT project SudoRare has disappeared from social media along with more than $800,000 in user funds.
SudoRare, anNFTplatform that forked from SudoSwap and LooksRare, is just the latest crypto projectto run offwith users' funds. The project also deleted all of its social media accounts Tuesday morning.
Many in the Crypto Twitter community were skeptical, with 2shabbytweetingon Monday that SudoRare could be a scam, “Don’t participate unless you want to take the risk of losing your money. This team is [anonymous], won’t dox [disclose their identities], and the possibility of this being a scam is high.”
Another Twitter user 0xStanec had a high degree ofsuspicion, saying, “This Is like a 1,001% scam project that noobs will fall for it.”
SudoRare was an automated market maker platform and NFT marketplace, advertising staking opportunities for assets like WrappedEthereum(wETH), LOOKS, and XMON. LOOKS is the native token behind LooksRare, itselfa fork of the leading NFT marketplace OpenSea.
Six hours after going live, almost 1 million LOOKS tokens were swapped into 154.5 Ethereum and another 230.6 LOOKS tokens into USD Coin (USDC),confirmedon Etherscan.
All 519 ETH was then moved off the platform, valued at $815,000 at the time of writing.
Funds were sent to three different addresses to drain both the funds, with any trace of the project removed,accordingto PeckShieldAlert on Twitter.
#PeckShieldAlert#rugpullSeems like@SudoRarerugged 519$ETH(~$815k).
SudoRare already deleted its social accounts/groups, sudorare[.]xyz is down
Stole funds already transferred to 3 new addresses (173$ETH/address):
0x75c3b2...3981
0x0498d1...8074
0xbFb784...7EAahttps://t.co/mPC4bl4k6Wpic.twitter.com/O5D7jThYvm— PeckShieldAlert (@PeckShieldAlert)August 23, 2022
NFT platforms on high alert
Despite the natural anonymity of the industry, there are ways for both platforms and investors to protect themselves.
Solana’s NFT marketplace Magic Eden rolled out a policy that required minters todox themselvesto the platform as part of an improvement plan after two high-profile rug pulls plagued the marketplace.
In light of the latest Sudorare event, SeaCows NFT, another decentralized NFT AMM platform,tweeted: “This sucks. Do your own research and hold teams to high security and transparency standards.”
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https://decrypt.co/108051/nft-project-sudorare-disappears-roughly-520-ethereum-user-funds
