• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Trader Phantom Caught in $200,000 Meme Cryptocurrency Scam

user avatar

by Giorgi Kostiuk

2 years ago

  1. Phantom’s Rugging Method and Tools
  2. Phantom's Exposure
  3. Cryptocurrency Market Vulnerability


    4. Recent details about fraudulent schemes in the world of cryptocurrency have been revealed thanks to a crypto trader known as Phantom. He earned $200,000 by exploiting meme cryptocurrencies using a method called 'rugging'.

    Phantom’s Rugging Method and Tools

    Phantom employs a method called 'rugging,' which involves creating and dumping meme coins. He uses tools like Pump.Fun, a token generator, and DogWiffTools, which fabricate demand by showing falsified buyer activity, making the tokens appear desirable to investors.

    Phantom's Exposure

    YouTuber known as NFT Nate exposed Phantom's tactics. Phantom creates custom tokens and then uses a 'Dump all' command to sell all his holdings at once. This action crashes the market for the token, rendering it worthless while he walks away with significant profits.

    “98.5% of meme coins are disposed of before even making it to crypto exchanges,” NFT Nate.

    Cryptocurrency Market Vulnerability

    Phantom's operation highlights a critical vulnerability in the cryptocurrency market—the ease of manipulating investor trust and the minimal oversight that allows such schemes to flourish. This scam is not isolated. A former employee of Pump.Fun was arrested for stealing $1.9 million through similar tactics.

    The continuous growth of the cryptocurrency world matches the evolution of its participants' tactics. Recent revelations about Phantom's operations emphasize the urgent need for tighter regulations and increased investor education.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Solana's Quantum Readiness Strategy Under Scrutiny

chest

Solana's quantum readiness strategy is under scrutiny following Anatoly Yakovenko's comments on the need for a multi-scheme approach to enhance security against AI threats.

user avatarLeo van der Veen

South Korean Exchanges Win Temporary Relief from Regulatory Sanctions

chest

Three major South Korean crypto exchanges, Upbit, Bithumb, and Coinone, have secured temporary court relief from sanctions related to existing anti-money laundering requirements.

user avatarLi Weicheng

Anatoly Yakovenko Raises Concerns Over AI's Impact on Post-Quantum Cryptography

chest

Solana cofounder Anatoly Yakovenko warns that AI could expose vulnerabilities in post-quantum signature schemes, emphasizing the need for a robust security design.

user avatarMaya Lundqvist

DAXA Challenges New Anti-Money Laundering Regulations in South Korea

chest

DAXA opposes proposed changes to South Korea's anti-money laundering regulations, citing concerns over excessive reporting requirements.

user avatarAisha Farooq

MoneyGram's Stablecoin Service Expands to Colombia and El Salvador

chest

MoneyGram has launched its stablecoin service in Colombia and expanded to El Salvador, providing financial solutions for underserved markets in Latin America.

user avatarTenzin Dorje

Stellar Network Surpasses 1 Billion in Real-World Assets

chest

The Stellar network has crossed the 1 billion mark in real-world assets, indicating significant growth and momentum.

user avatarBayarjavkhlan Ganbaatar

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.