Is Umbrella Finance a Hard Rug?
$UMBRELLA is Fantom Opera’s best algorithmic stable coin, forked from Tomb Finance and seigniorage to the price of 1 $FTM. According to our source, it is a hard Rug. Hard rug,” is a devious maneuver in which project developers drain their liquidity pools in order to profit at the expense of investors. Hard rug thrives on DEXs. It is so because, unlike centralized cryptocurrency exchanges, DEXs allow users to list tokens for free and without audit.
Our source suggests that the people who have staked in it should withdraw and revoke ASAP. The Contract address is 0x30a21719EACB4aFdCa1cEFEC209c349918BBa0f9 and to revoke kindly visit here. As per our source, they could find out that the devs here can set the token reward to WFTM, ETH, or USDC, harvest, and funds will disappear to a hidden pool at the rate of emissions. For ETH if that pools gets substantial TVL they can drain uint256 public _umbrellaPerSecond = 0.115740741 ETH/second. That’s a lot of ETH.
As per our source, there are only 20k genesis tokens but devs can swap the reward token to ETH and harvest the ETH from the contract instead of umbrella. In order to do this, they need to get a lot of the token by adding potentially a new hidden pool and setting a high allocation to that pool.