According to blockchain security analysts, the Safereum project’s developers abruptly sold more than 700 ETH worth of its native token.
The crypto community has been left fearing the worst after Safereum’s team completed a massive $600,000 fundraising effort just hours before significant amounts of liquidity were drained from the project.
According to blockchain security firm CertiK and other analysts, the developers of Safereum used the token deployment address “safereum. eth” to activate the token supply and dump more than 600 Ether worth of its holdings, causing the price of the Safereum (SAFEREUM) token to plummet by 94% or more.
#CertiKSkynetAlert 🚨
We can confirm that @Safereumio has conducted an exit scam for ~$1.3m
Eth: 0xb504035a11E672e12a099F32B1672b9C4a78b22f
safereum.eth unlocked Safereum tokens and sold. Additionally ~$597k was raised for the project’s SAFEPAD token.https://t.co/aAxjcEmdcH
— CertiK Alert (@CertiKAlert) October 23, 2023The so-called rug pull occurred after the team completed a roughly $600,000 fundraise for a derivative token dubbed “Safepad.” It is believed that these funds comprised a portion of the total amount stolen, which amounted to approximately 720 ETH, or $1.27 million at current prices.
CertiK observed that the illicit funds had since been dispersed across several accounts, further obscuring the surveillance procedure. The official Safereum account on X (formerly Twitter) has also been deleted.
SAFEREUM is trading at $0.0000008, down 94.1% from $0.000014, where it was trading before the purported exit scam, at the time of publication.
Died.eth, a pseudonymous nonfungible token (NFT) merchant, referred to the Safereum scam as one of the most “insane” heists he had witnessed.
“Safereum / safepad just hit the most insane rug I’ve ever seen, after finalizing their 700e safepad presale they’ve dumped over 600e of safereum and safepad for one final exit,” they wrote to their 12,600 followers on X.
safereum / safepad just hit the most insane rug I've ever seen, after finalizing their 700e safepad presale they've dumped over 600e of safereum and safepad for one final exit pic.twitter.com/HwX70DFCAr
— died.eth | idk.eth (@website) October 23, 2023In the meantime, several influencers have been accused of promoting the Safereum initiative. ZachXBT, a blockchain sleuth, identified a pseudonymous user known as ProTheDoge as the official promoter of the scam project, observing that this was not the first time the user in question had failed to conduct adequate due diligence.
It seems the influencer ProTheDoge is back at it promoting scams as an official partner of the project.
This time it was Safereum which just rug pulled with 730+ ETH ($1.2M).
0x67c8423a7709aDB8ED31c04DcbB0C161637b807F pic.twitter.com/o5qi9rmC3e
— ZachXBT (@zachxbt) October 23, 2023