The saying that “all that glitters is not gold” is particularly true in the crypto industry. A recently launched DeFi protocol, WhaleFarm, has just stolen over $2 million from investors in what can be described as the latest rug pull in the crypto space.
The decentralized finance (DeFi) project was launched earlier this month, promising investors mouth-watering returns on staking. Investors could reportedly earn up to 7,217,848% APY by staking Bitcoin, Ethereum, Binance Coin, BUSD, Cardano, Polkadot, and Chainlink tokens.
While the APY already sounds too good to be true, the platform recorded some growth, with its native WhaleFarm token surging in value. Another early red flag that investors chose to ignore was the fact that the project had a fully anonymous team.
WhaleFarm Token is the most recent scam to pull the rug on investors. It's estimated they stole over $2.3 million.- Fully anonymous team- Promised 7.2 million % in returns- The token is now down -99.99%- Twitter page deactivated- Telegram group deleted pic.twitter.com/Ye6CZ9HgUt— Mr. Whale (@CryptoWhale) June 30, 2021
Sadly, investors will be left counting their losses after the team carted away with an estimated $2.3 million. To reinforce the rug pull theory, WhaleFarm has deleted its Twitter page and its official Telegram group. Following the discovery, the price of the WhaleFarm Token plunged by almost 100% in minutes.
Rug pulls are not new in the cryptocurrency space. There have been multiple incidents in the past. In March, BTC PEERS reported a similar incident by Meerkat Finance where the team made away with over $30 million in BUSD and BNB.