One Of the most popular YouTubers in the world, Mr Beast, has faced allegations for allegedly being involved in crypto pump-and-dump schemes worth roughly $ 10 million.
The allegations over Mr Beasts were made by a blockchain investigator posted on X from an account named ‘SomaXBT,’ noting that he has invested $100k in a project named SuperFarmDAO and has influenced the trading price of SUPER token, leveraging his worldwide popularity.
Further noting that Beast inflated the price, and once the token became overvalued, he withdrew his holding and made around $9 million in profits. The firm also identified Polychain Monsters, STAK, VPP, and SHOPX, where he supposedly promoted and then sold off his assets for a profit.
The disastrous effects of pump and dump schemes have raised severe threats Over the safety of blockchain-based currencies. A leading media outlet reached the media team of Mr. Beast, but they did not respond to the clarification request.
Scams and Frauds Destroying Crypto Legitimacy!
In the past few quarters, the number of pump dump projects has grown compared to legitimate projects affecting more than 1 million cryptocurrency users.
A report compiled over scams, fraud and hacks that occurred from the beginning of this year till August 2024 notes that the market losses exceeded $2.114 billion in 3 quarters of 2024.
The blockchain analysis firm notes that, “2024 has already shattered records, with losses skyrocketing past the total for all of 2023.”In 2024 the total number of frauds and hacks faced by centralized exchanges grew over 1000%.
Year to year. At the same time , losses of decentralized exchanges remained steady falling over twenty five YoY compared to the previous year. Binance and Ethereum remain among the most affected which roughly lost over $100 million in 62 funds wipe out incidents.
Over the time, hacks related to smart contracts also surged, reaching 70 incidents this year which was 28 incidents in 2023 in the same period access control vulnerability surged 99%.
Notable Hacks & Scams in 2024
It is worth noting that cases related to illicit usage of cryptocurrency ATMs have also surged since the beginning of 2024. Most recently a trader was released on bail over the allegations of using illegal crypto ATMs in the United Kingdom.
The recent hack of DMM Bitcoin exchange became one of the most disastrous hacks till writing resulting in losses over $350 million followed by the heist over BtcTurk which allegedly Lost over $50 million in cryptocurrencies.
WazirX, a known centralized exchange based in India was breached by hackers resulting in losses of roughly $250 million. Per the recent development the exchange and its authorities have been closely working with regulatory agencies in order to recover the funds and identify who is behind this theft.
Hundreds of published reports note that the growth of Social media and its wider adoption has been providing the platforms to bad actors to promote fraudulent activities. Among all leading social media platforms Telegram is one of the most favourite of crypto moguls as well as the hackers and fraudsters.
Security and Data privacy experts note that the rising trend of scams and frauds has troubled the crypto market at its verge and if these activities continue to surge a decrease in global crypto adoption is expected.
One Of the most popular YouTubers in the world, Mr Beast, has faced allegations for allegedly being involved in crypto pump-and-dump schemes worth roughly $ 10 million. The allegations over Mr Beasts were made by a blockchain investigator posted on X from an account named ‘SomaXBT,’ noting that he has invested $100k in a project […] Read MoreNews, Blockchain, Crypto
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