Recently, scammers have turned their attention to cryptocurrency exchange Coinbase’s new Layer-2 Base network protocol. Now, Coinbase’s Layer-2 Base has fallen victim to another rug pull. The team at SwirlLend, a DeFi protocol, pulled the carpet. With his team deleting all social media traces, the protocol’s Total Locked Value dropped to almost zero.
‘rug pull’ shock in this crypto money project!
Allegedly, the team of decentralized finance (DeFi) protocol SwirlLend performed a ‘rug-pull’ transaction. After this news, the Total Locked Value (TVL) of the DefFi protocol dropped to almost zero. According to on-chain detective PeckShieldAlert, the SwirlLend distributor pulled the carpet on the project. In this context, PeckShieldAlert shared:
The SwirlLend team at Base pulled the carpet. SwirlLend’s TVL fell from $784.3k to $49.2k. SwirlLend has already deleted its social platform. The distributor transferred approximately $289.5k worth of crypto from Base to Ethereum, including 140.68 ETH and 32.6k USDC. They still hold 92 ETH on Base.
#PeckShieldAlert #Rugpull SwirlLend on #Base has been rugged. The TVL of SwirlLend has dropped from $784.3K to $49.2K. @SwirlLend has already deleted its social platform.
The deployer has already bridged ~$289.5K worth of cryptos from #Base to #Ethereum, including 140.68 $ETH… pic.twitter.com/O0fFjA7zKR
— PeckShieldAlert (@PeckShieldAlert) August 16, 2023
The SwirlLend team is erasing traces, TVL has dropped to almost zero!
PeckShieldAlert noted that the TVL of the DeFi protocol dropped from $784,300 to $49.26. He also stated that the crypto money project team deleted the traces on social media and closed the official website as well.
SwirlLend TVL. Source: DefiLlamaThe distributor bridged assets from Base and Linea to the Ethereum Blockchain. At the time of this writing, the distributor has bridged almost the entire amount to Ethereum, mainly using the Orbiter Finance bridge. According to PeckShield, scammers laundered 252.5 Ethereum (ETH) worth over $460,421 via TornadoCash.
Is Base a new home for cryptocurrency scammers?
cryptocoin.com As you follow, leading crypto exchange Coinbase launched Base in February. Since then, various speculations have started among cryptocurrency enthusiasts. Even before the Main net launch, the Layer 2 protocol has registered a million users. After the launch of Main net on August 9, the number of daily active users of Base has exceeded 136,000.
As on-chain activities increased, people started to launch meme cryptocurrencies on Base. Finally, in late July, scammers scammed over $23 million through the BALD meme coin. Then, Tuesday’s 472 ETH RocketSwap hack also sparked controversy. Because some believed it was a ‘rug pull’. The RocketSwap team has turned off replies in X posts and two-way communication on Telegram. However, they were sharing updates via X. Due to back-to-back rug pull events, the community believes Base is a new home for scammers.
