DeFi scammers tracked down after a $25 million rug pull

DeFi scammers

TL; DR Breakdown

  • DeFi scammers tracked down after rug pull
  • StableMagnet scammed over 1000 investors
  • Vigilante narrates how the scammers were arrested

The digital finance world is one of the most complicated sectors worldwide. This is because people can do anything they want and almost get away with it. This is why malicious actors take full advantage of that and carry out their criminal activities. While that is a fact, a one-person vigilante group was responsible for tracking a group of cybercriminals. According to the reports, the DeFi scammers were responsible for the rug pull of $25 million belonging to StableMagnet.

StableMagnet scammed over 1000 investors

After coordination with authorities and regulators, the entire cache of stolen funds returned to the investors it was scammed off. StableMagnet entered the market, offering anyone who will invest mouth-watering offers when deposited with stablecoins. After attracting over 1000 and boasting $25 million in its confines, the group eloped with the total cash.

Before the group carried out the rug pull, the said anonymous vigilante had gone through the platform’s code to deduce if it was legit or not. He conceded that he was not there to see messages from the microblogging platform warning him about the weak platform and its vulnerability. After noticing this, he swiftly monitored the DeFi scammer’s activities and tracked the funds in their confines.

How the DeFi scammers were caught

In a statement, he mentioned that the situation looked ideally like one that could severely impact people. Most people never care about stuff like that, so they don’t venture into it. The search for the DeFi scammers bore fruits after he hacked his way into their GitHub account. Not long after, he was able to identify them and all members of their families. The vigilante mentioned that the scammers were Chinese natives living in Hong Kong at the time.

After a while, the scammer moved from Hong Kong to Chinatown, where all the commotion about the issues was laid to rest. With the DeFi scammers out in the open, they were swiftly arrested after the vigilante contacted the police about their latest location. With this, the vigilante has established that DeFi scammers can be traced and arrested if they carry out any illicit activities in the sector henceforth. After the arrest of the criminal, other members sent back their cache of the funds, fearing police intervention and an eventual arrest.

Owotunse Adebayo

Owotunse Adebayo

Adebayo loves to keep tab of exciting projects in the blockchain space. He is a seasoned writer who has written tons of articles about cryptocurrencies and blockchain.

Related News

Hot Stories

Bitcoin, Binance Coin, XRP, and Cardano Daily Price Analyses – 2 December Morning Prediction
Polkadot price analysis: Bullish momentum gathers as DOT prices target $6.0
Here’s why Ethereum is shutting down its oldest testnet Ropsten
'I think he's telling the truth,’ Kevin O'Leary on SBF
Uniswap price analysis: UNI breaks above $5.90. Can bulls sustain their momentum?

Follow Us

Industry News

'I think he's telling the truth,’ Kevin O'Leary on SBF
Blockchain games are doing great despite the failure of FTX
Reserve Bank of India’s crypto alternative is here: How can one use the e-Rupi?
Russian bank infuses metamask into its blockchain
OpenSea ends 2022 with major partnerships and $1B in NFT royalties

Add Your Heading Text Here