key takeaways:
- AnubisDAO suffered a rug pull attack, resulting in the theft of $60 million worth of Ether
- The stolen funds were syphoned away using Tornado Cash.
In the fast-paced world of decentralized finance (DeFi), innovation and opportunity often go hand in hand with risks and uncertainties. An unfortunate recent event has yet again surfaced as AnubisDAO, a decentralized autonomous organization (DAO), fell victim to a devastating rug pull.
With a staggering loss of 13.5K ETH on Tornado Cash, this incident highlights the challenges and vulnerabilities that persist in the DeFi landscape.
In October 2021, the funds of the dog-inspired decentralized finance project, AnubisDAO, were depleted within a mere 20 hours of the project’s launch. According to reports from PeckShieldAlert, Etherscan data indicated that the funds were transferred using Tornado Cash between July 15 and 16.
The address responsible for the rug pull continued to hold the funds and moved them in increments of 100 ETH per transaction.
This recent incident was not the first time that funds had been moved from the account after the initial rug pull. In June of the previous year, the same address transferred 1,097 ETH (equivalent to $1.3 million at the time) to another address. Additionally, it laundered 1,018 ETH (approximately $1.18 million) through Tornado Cash.
The stolen assets were transferred to Tornado Cash between July 15 and 16, according to blockchain investigator PeckShield, in 100 ETH tranches. Tornado Cash is a decentralised protocol that ensures the secrecy of Ethereum network transactions.
While some investors continue to hope for a refund, recovery remains a remote possibility. To avoid risks, potential investors have been encouraged to conduct comprehensive due diligence on businesses and founders before investing.
The rug pull that took place in AnubisDAO serves as a painful reminder of the inherent risks involved in investing in cryptocurrency. As investors helplessly witnessed their funds disappear, a small group held onto a glimmer of hope amidst the despair. Against all odds, they maintained a belief in the possibility of a future refund if the bear market were to rebound.
