Metaswap Gas goes incommunicado when experts link MGAS price drop to rug pull
PeckShield, a blockchain security company, has recently alerted investors of a possible rug pull event after it identified a massive 46.99 per cent price drop on MetaSwap’s MGAS token.
The MetaSwap protocol enables nonfungible token (NFT) swaps over the Binance, Ethereum, and Polygon blockchains.
After the unexpected price drop happened, all official accounts that were linked with Metaswap Gas, those including Twitter, Instagram and Medium, had been removed, in support with PeckShield’s claim of a potential rug pull.
According to PeckShield, 1100 BNB tokens that were worth nearly $602,000 had been transferred to an account on Tornado Cash, which is an Ethereum-based non-custodial solution used for breaking the on-chain link between the sender and the receiver. This process multiplies the difficulty in tracking the stolen funds.
PeckShield has advised its investors to stop staking on Metaswap Gas and revoking existing contracts in avoidance of any further monetary losses.
In December alone, numerous crypto entities had become victims to a series of crypto exploits, that has resulted in a cumulative loss of more than $600 million. On December 21, Bent Finance had also proactively asked its investors to withdraw their funds after it confirmed a pool exploit.
Other victims of the crypto community that faced similar events include Grim Finance, AscendEX, BitMart and Bent Finance, who have promised their investors to return all their stolen funds. The team, however, is due announcing a plan for the same.
Its latest statement was that it had recommended all investors to withdraw from the protocol until further notice, assuring that they “are not going anywhere” and would definitely “recover from this one way or another.”