Ordinals Finance Withdraws from Scam Project, Resulting in $1 Million Loss

On April 25th, according to CertiK monitoring, Ordinals Finance has been confirmed to have withdrawn from the scam project, resulting in a loss of $1 million. The deployer extracts OFI tokens from the OEBStacking contract, exchanges them with ETH, and transfers them to the EOA address (0x34e… 25cCF), which in turn transfers 550 ETHs (approximately $1 million) to Tornado Cash. At present, all social media accounts and websites for this project have been deleted. ETH address: 0x419E35E3515c2fDB652C898bF7A0B21FB20497dC.

Ordinals Finance withdrew from the scam project, resulting in a loss of $1 million

Introduction:

CertiK monitoring has confirmed that Ordinals Finance withdrew from a scam project on April 25th and suffered a loss of $1 million. In this article, we will dive deeper into the details of this scam, the consequences of the loss, and what steps users can take to protect themselves against such attacks.

The Scam Project:

The scam project that Ordinals Finance withdrew from is not the first of its kind in the cryptocurrency space. The project entailed extracting OFI tokens from the OEBStacking contract, exchanging them with ETH, and transferring them to the EOA address (0x34e… 25cCF). The EOA address, in turn, transferred 550 ETHs (approximately $1 million) to Tornado Cash.
It appears that the scam project’s creators have deleted all their social media accounts and websites. The ETH address in question, 0x419E35E3515c2fDB652C898bF7A0B21FB20497dC, is also no longer accessible.

Consequences of the Loss:

The loss of $1 million is a severe blow to Ordinals Finance, and it is likely that other users have also suffered significant losses due to this scam. Unfortunately, such incidents are not uncommon in the cryptocurrency space, and it is essential to take precautions to protect one’s investments.

How to Protect Yourself:

It is crucial to carry out due diligence before investing in any cryptocurrency project. Research the project’s creators, read whitepapers, and analyze the project’s viability carefully. It is also essential to be wary of promises of high returns and to avoid projects with insufficient information.
Using a reliable exchange, such as Coinbase or Binance, is another critical step in protecting oneself. These exchanges have robust security measures and can provide a layer of protection against such scams.
Additionally, using a hardware wallet, such as Ledger or Trezor, can further enhance security by protecting one’s private keys from online attacks.

Conclusion:

The loss of $1 million by Ordinals Finance is a tragic reminder of the perils that exist in the cryptocurrency space. Still, it is also a call to action for investors to be more vigilant and careful with their investments. By conducting due diligence, using reliable exchanges, and employing hardware wallets, users can protect themselves from such incidents.

FAQs:

Q: What is a hardware wallet?
A: A hardware wallet is a physical device that stores private keys and can be used to securely manage cryptocurrency funds.
Q: What is due diligence?
A: Due diligence refers to the process of researching and analyzing a project’s viability before investing in it.
Q: How can users spot a cryptocurrency scam?
A: Users should be wary of promises of high returns, research project creators, and look for sufficient information and transparency before investing.