The bull run of crypto is famous to turn many people into millionaires in a short period. But it's also infamous for scams and ponzi projects luring general masses into the crypto world and taking away all their life's earnings.
Therefore, when the bull season starts, several dead projects become active and many new scamy projects eye to pocket investors' hard-earned money. Most people fall for them as either they are new and don't understand much; or greed and quick action time don't permit them to do more research about the project. People learn lessons hard way. Many of them become anti-crypto too!
Two days back, someone found a lot of signs of exit scam in the upcoming project named 8pay on Binance Smart Chain. As it's IDO was already scheduled, it was imperative to spread this message far and wide. So this person created a Twitter account with the handle 8pay SCAM. He also created a Telegram group and a Medium blog for alerting everyone about it. The message was being shared in various chats and channels by others too. So I was confident that this project won't be able to get away with people's money.
Founders' social media profiles and their indulgence in luxury life were also shared, questioning why do these people who own Ferrari cars and private helicopters need to raise money for this project through IDO. The need for the amount being raised was also questioned.
The main points of their investigation were sumed up as:
Unpublished contracts before presale starts, that confirm the shadiness of the founding member.
No governance or timelocks found in testnet.
Testnet contracts have a fee collector, but no info about what is that, how the fee collects, who can set that fee etc.
Manual token distribution after deployment means full power to the 8Pay team to control the whole token supply.
[Please check the whole article Why the 8Pay IDO Will be the next Exit SCAM on BSC]
Several people started to seek explanation from the team on these doubts. But the team never replied on Twitter. In fact, they closed / muted their Telegram chat. But they didn't stop their IDO.
Today, I was wondering about several people complaining on Twitter of it. Some of them lost their money to this scam.
I was like, why all these people caught unaware of this!
But then I found out that "8Pay SCAM" - the scam awareness account was being censored by Twitter. It was restricted and nothing was appearing in its Search.
I mean ....what the heckkk!!!