AMM protocol SudoRare has suddenly shut down its services and social media accounts after allegedly making away with 519 Ether, worth roughly $815,000.
Sungjae_han, a member of the cryptocurrency community, was the first to draw attention to a suspicious transaction that used the LooksRare (LOOKS) and USD Coin (USDC) tokens to siphon off a sizable amount of money from SudoRare.
Following the incident, blockchain investigator Peckshield made a suggestion that there may have been a small-scale rug pull involving the theft of 519 ETH. SudoRare made the decision to disconnect from the internet, erasing all of its social media profiles and its primary website, sudorare.xyz, which only served to confirm PeckShield’s concerns.
The screenshot below demonstrates how the allegedly stolen money was divided equally and sent to three distinct accounts, each receiving 173 ETH.
The disappearance of SudoRare serves as a warning to investors to “do your own research” (DYOR) before investing in projects that promise unrealistic profits, even though inquiries into the case are still ongoing.
One of Velodrome Finance’s team members, Gabagool, was responsible for a recent hack on the company. He later repaid the $350,000 worth of stolen money.
The events that prompted Gabagool to attempt theft included losing money during the 2022 crypto crash, according to a note he also released. Added him:
“Not much else to say. I’m extremely stupid, incredibly disappointed in myself and (frankly) unsure about what next, legally speaking.”
Although Velodrome has acknowledged consulting with legal advice to decide the next steps, it has not yet taken legal action against the crime.
