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Scammers target Solana ecosystem as funds disappear

TL;DR

  • MangoFarmSOL disappeared, taking nearly $2 million in investor funds, sparking exit scam concerns.
  • The developer confesses to Ponzi schemes and hints at the BananaMiner link, but BananaMiner denies involvement.
  • Solana faces rising scam threats, urging investors to be cautious.

In a concerning development within the Solana ecosystem, MangoFarmSOL, a farming protocol, has deactivated its social media accounts amid reports of missing funds. 

The project had promised “unparalleled yield in the $SOL space” and had scheduled its MANGO token airdrop for January 10, 2024. However, recent events have raised doubts about the project’s legitimacy.

The situation took a turn for the worse when a pseudonymous developer known as “Foobar,” recently appointed MangoFarmSOL’s security auditor, warned users in a post on January 6 that the project’s front end had been compromised. 

Foobar’s warning left many in the Solana community speculating that the project could be involved in a rug pull – a type of exit scam where developers abandon a project after attracting significant funds.

MangoFarmSOL’s disappearing act

Following these alarming developments, MangoFarmSOL’s profile on X (formerly Twitter) and its official website abruptly vanished, leaving investors in the dark. Additionally, the Telegram channel, which had over 1,000 subscribers, stopped accepting new members. 

The sudden disappearance of these communication channels further exacerbated concerns within the community.

As investors sought answers and clarity, estimates of the potential losses began circulating. It is believed that the funds missing from MangoFarmSOL could amount to nearly $2 million, highlighting the significant financial impact of this alleged exit scam on the Solana community.

Developer’s confession fuels speculation

On X, users shared images of messages reportedly left by the developer behind the suspected scam. These messages appeared to contain a confession in which the developer claimed to have been forced into creating Ponzi schemes and hinted at involvement in another Solana-based yield protocol called BananaMiner. 

However, representatives from BananaMiner quickly distanced themselves from MangoFarmSOL, denying any connections with the embattled project.

“I manage @BananaMiner_ communication on the whole project, and I assure you that Mango has nothing to do with us. They even asked me to help them with their project, and I explained there was a conflict of interest. Please don’t spread false rumors like that, and do your research well next time,”

Said the representative from BananaMiner.

The alleged exit scam involving MangoFarmSOL is not an isolated incident within the Solana ecosystem. Recently, the network has seen an uptick in scams involving wallet drainers. 

Cybercriminals have been selling Solana drainer kits since December, enabling them to target unsuspecting users. Chainalysis, a blockchain security firm, reported that one of the largest online communities dedicated to these wallet drainer kits has amassed over 6,000 members.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

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Benson Mawira

Benson is a blockchain reporter who has delved into industry news, on-chain analysis, non-fungible tokens (NFTs), Artificial Intelligence (AI), etc.His area of expertise is the cryptocurrency markets, fundamental and technical analysis.With his insightful coverage of everything in Financial Technologies, Benson has garnered a global readership.

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