Crypto scammer gets scammed of token he created

The Reddit community now mocks a crypto scammer who lost his seed investment on his own fraudulent scheme.

In the r/pancakeswap subreddit — the public forum of decentralized exchange Pancakeswap — a Reddit user sought help in returning funds from a BEP-20 token he created. As it turned out, it was a scam token that was pretending to be an existing unranked project, having the use case of mining cryptocurrency on mobile phones.

For the record, may it be in Ethereum (ETH) or Binance Smart Chain (BSC), anyone can have the ability to create tokens of their own. But because it’s cheaper to use, Binance seems to be the go-to network for scammers.

Crypto scammer gets dose of own medicine

According to Cryptoslate.com, the post is now deleted on Reddit, but the user reached out to the community and said, “Hey, I created a token on pancakeswap but now I want my money back. It says I can’t trade it back because price impact is too high. So I basically lost 366$? Please help.”

Apparently, the user-created the PI token while also selling it on the premise of being the BSC token for another cryptocurrency of the same name. The post history of the user showed he was promoting an affiliate link for this other digital currency.

Hit with a series of scams

The Binance Smart Chain (BSC) has been hit with a series of scams recently.

The biggest so far was the incident involving MeerKat Finance in early March, in which scammers were able to get a total of $31 million, made up from 14 million BUSD and more than 72,000 BNB. There have been others, such as PopcornSwap, Zap Finance, Tin Finance, and TurtleDEX.

Despite Binance taking the security of users seriously and is active in compensating victims, as was the case of the WineSwap exit scam, it still remains true that anyone can create a smart contract token through it and use it for similar bogus activities.

 

Image courtesy of Cointelegraph News/YouTube

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