Hi HODLers,
Another week in the crypto world and another batch of rugpulls, scams and ponzi coins !
The latest one on that list is SnowDogDao. It happened when the team decided to implement a $40mn buyback. To do so, they needed to move the liquidity from the Trader Joe LPs to their own DEX.
As explained by anonymous developer @artoriamaster, before the promised buyback of SDOG tokens happened due to the migration from TraderJoe DEX to the native platform, someone who knew the "challenge key"—a part of the SnowdogDAO contract—backran the buyback and started selling tokens.
The challenge key could have only be known by someone on the project's team as the contract was not validated yet, it was supposed to be once the team finished the repurchase.
Below is the tweet mentioned:
https://twitter.com/artoriamaster/status/1463997950498123780?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1463997950498123780%7Ctwgr%5E%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fu.today%2Fshib-competitor-snowdogdao-allegedly-falls-victim-to-largest-rug-pull-in-avalanche-history
- artoriamaster
In any case, invest in project where you see good communication with the team. There is also an easy way to sometimes spot scams. Do not fall for copy pasting projects with obvious marketing names such as Squid DAO or this Snowdog who wanting to compete with Shiba Inu...
Another redflag was the massive promotion from Crypto and non-crypto influencers...
Just my 2 cents, not financial advice.
Some are even posting new videos explaining that they saw it all or that it is a gift...
I also wants to thank some of the ones below who called it before it happened. You are the ones that we need, with a brain and understanding what is going on.
Snowdog $SDOG Price Chart
$SDOG is now sitting at $75 compared to $1.5k+ a week ago.
Snowdog postmortem tweet and blog
https://twitter.com/SnowbankDAO/status/1464149420245766149
- SnowbankDAO
Stay safe out there, this is the WildWest!
Sources:
- Snowdog website
- SHIB Competitor SnowdogDAO Allegedly Falls Victim to Largest Rug-Pull in Avalanche History
- SnowdogDAO Is Supposedly the Victim of a Rug Pull