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    QONEQT in Crypto News

    28-Oct-2022 11:00 AM


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    Web3 sees 15 new scam smart contracts an hour: Solidus Labs

    The Web3 and cryptocurrency space is seeing a significant amount of smart contract scams proliferating, with blockchain risk monitoring firm Solidus Labs saying it has detected on average 15 newly deployed scams every hour.
    Former United States Consumer Financial Protection Bureau (CFPB) director, Kathy Kraninger, who is now Solidus’ vice president of regulatory affairs, said in the statement that “while some of the big rug pulls and scams make the news [...] the full picture stemming from our data shows the vast majority of these scams go unnoticed.”
    The firm also shed some light on the number of tokens that are scams, saying 12% of BEP-20 tokens — the BNB Chain’s token standard — exhibit fraudulent characteristics marking it as the blockchain with the most cryptocurrency scams.
    It also estimated around $910 million worth of Ether (ETH) related to scams had passed through centralized and regulated exchanges.
    Solidus said these so-called “scam token smart contracts” are hard-wired to steal investors’ funds and fit alongside other abusive practices such as rug pulls, where the developer steals the invested funds and token impersonations that aim to trick people into investing by mimicking popular cryptocurrencies.
    Source: Cointelegraph
    #Web3 #cryptocurrency