On May 3, the XIRTAM project, a reputation-building platform promoting decentralized and anonymous interactions, suffered a significant blow when its operators executed a rugpull scheme.
Instead of the typical tactic of using crypto-mixing services to obfuscate the stolen funds, the culprits directly deposited the ill-gotten gains on Binance.
Upon discovering this breach, exasperated users sought assistance from Binance, prompting the exchange to respond promptly.
In a statement, Binance assured affected users of their commitment to resolving the issue and their cooperation with law enforcement agencies for a thorough investigation.
As of July 3, the exchange has announced a redemption program, allowing victims to apply for asset returns. Eligible users need to submit relevant information through a dedicated form before August 2, 2023.
Once accounts are verified, the Binance security team will facilitate the return of the corresponding ETH assets using a secure smart contract address.
The rugpull incident underscored the risks associated with decentralized platforms, where trust is built through reputation rather than conventional KYC processes.
It serves as a cautionary tale for users participating in such ecosystems to remain vigilant and cautious, as anonymity can sometimes lead to vulnerabilities.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
