Crypto Scam Revenue Up 81% in 2021, Hits $7.7 Billion: Chainalysis (decrypt.co) 17
The explosion of rug pulls in the decentralized finance (DeFi) ecosystem over the past year helped to propel revenue from crypto scams to $7.7 billion in 2021, according to blockchain data firm Chainalysis. From a report: Per Chainalysis' 2022 Crypto Crime Report, revenues from crypto scams in 2021 were up 81% on the previous year, with rug pulls accounting for 37% of all crypto scam revenue -- up from 1% in 2020. In all, rug pulls -- in which developers build a seemingly legitimate crypto project and then abscond with investors' money -- accounted for more than $2.8 billion worth of stolen crypto in 2021. Chainalysis highlighted the fact that code audits -- which would catch the vulnerabilities that enable fraudulent DeFi projects to drain their liquidity pools -- are not required to list a project on decentralized exchanges (DEXs), hence their prevalence in the DeFi sector.
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You need Cryptonite to protect yourself from Superscammers.
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This is all about people trying to make money as fast as possible before the bubble explodes. The more people who lose or have their Crypto stolen, the sooner the bubble will burst. This limited-time opportunity attracts crapitalists (criminal capitalists) by the boatload. Now over 1/3 of the scams involve completely fake crypto exchanges that just take the money and run. Since it has worked so many times already, expect more to follow, until people start paying attention, rather than just seeing dollar sig
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> people trying to make money as fast as possible before the bubble explodes.
I feel guilty because I invested in crypto trying to do just that. Note that I also have "normal" investments so this is just diversification. I would not recommended anybody do any of these ponzi-like investments without first having normal ones as a fall-back.
Joke is in the scammers (Score:2)
If they hold the stolen crypto currency they will get burned when bottom falls out of the market and the entire capitalization of Bitcoin will be equal to a torn beanie baby and three worn rare Pokémon catds.
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I predict that is the point at which all crypto-currencies will miraculously become NFTs. At that point, they will each be worth hundreds of thousands of dollars. At least for a few minutes.
Completely unexpected (Score:3)
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+1, hilarious!
Sorry, already commended, so cannot give you an actual mod-point.
Captain Obvious (Score:2)
who would think an increase in transactions, and most importantly, valuation of crypto assets would induce in an increase in the amount of actual dollars taken as crypto scams!
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So far, it seems like "decentralized finance" is just a euphemism for "wretched hive of scum and villainy."
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So far, it seems like "decentralized finance" is just a euphemism for "wretched hive of scum and villainy."
Actually, I would say a rug-pull is rather elegant in its simplicity. That people fall for it means the morons that get hit are even more simple, but that game has been played since the human race got organized.
There is a sucker born every minute... (Score:3)
The fascinating thing is that these scams still work well today, with supposedly educated people that have access to all the information on what is happening. Well, and a lot of lies and bullshit too. It seems that many people are completely incapable to fact-check.
Interesting juxtaposition (Score:2)
I can't help but notice the positioning of the next story immediately after this one: "Melania Trump Launches NFT Platform in First Public Endeavor Since White House" [slashdot.org]
Re: Interesting juxtaposition (Score:2)