Sumability
Topics
  1. Home
    2. >
  2. Cryptocurrency 💰
Posted

Binance's indecision to freeze BNB wallets drew controversy in this $11M rug pull

  • In January 2021, PopcornSwap rug pull on BNB Chain scammed users out of $2 million. The scammer's wallet grew to $10.8 million as BNB increased in value.

  • Victims asked Binance to freeze the scammer's funds, but Binance said it couldn't due to BNB Chain's decentralized nature.

  • In October 2022, Binance proposed and validators agreed to freeze the scammer's funds, nearly 2 years after the incident.

  • Binance confirmed it can freeze BNB Chain addresses with validator consensus, contradicting past decentralized claims.

  • The PopcornSwap scam shows risks of using smart contracts and difficulty getting reimbursement after an exploit due to blockchain immutability.

cointelegraph.com
Relevant topic timeline:
Hacker Behind $570,000,000 Exploit Gets Manually Liquidated for $52,300,000 by BNB Chain Protocol - The Daily Hodl
The hacker who stole $570 million from Binance last year had a portion of their stolen funds liquidated after the Venus community voted in favor of a governance proposal enabling the liquidation, and the attacker's position was manually liquidated for $52.3 million when the price of Binance Coin dropped.
Magnate Finance on Base rug-pulls users of $6.5M, as predicted by on-chain sleuth
Magnate Finance, a lending and borrowing platform on Coinbase's layer-2 protocol, Base, rug-pulled its users of $6.5 million in an exit scam after deleting its Telegram channel, website, and social media accounts, manipulating the price oracle, and removing all assets, leading to the collapse of the $6.4 million of total value locked in the protocol.
Binance Refunds $1 Million After CYBER Withdrawal Issue Caused by Price Discrepancy
Binance is refunding users $1 million and implementing measures to prevent future incidents after users were unable to withdraw their CYBER Earn assets due to a cross-chain bridging issue.
Binance Helps Thai Police Seize $277M from Alleged Crypto Scammers, Over 3,000 Victims Seek Compensation
Crypto exchange Binance collaborates with law enforcement agencies to arrest key members of a criminal group involved in a crypto scam in Thailand, resulting in the seizure of $277 million worth of assets and over 3,000 victims coming forward to file compensation claims.