Developers of RiskOnBlast Execute $1.25 Million Rug Pull in Blast Network

On February 25th, developers of RiskOnBlast, a gaming platform on the L2 Blast network, withdrew 420 ETH belonging to users, amounting to approximately $1.25 million, and subsequently disabled the website and social media accounts.

1.@Riskonblast rugged 420 ETH worth $1.25 million from 750+ victims.
Scammers lent $497k through @ChangeNOW_io , $360k through @MEXC_Official and $187k through @Bybit_Official exchange
contract on L1
0x25f8C342E430C85829Ef5021C0720f0c60969840. ? pic.twitter.com/XK2w2gTo8X

— SomaXBT (@somaxbt) February 25, 2024

According to on-chain researcher SomaXBT, the rug pull affected over 750 victims. The stolen funds were transferred to the MEXC, Bybit, and ChangeNOW exchanges.

RiskOnBlast was marketed as a cryptocurrency gambling platform. Previously, the project raised over $1 million from investors in a seed round and was one of the participants in the Big Bang funding competition by Blast.

On February 13th, representatives of the L2 solution posted on X, claiming the “undeniable potential” of the scam protocol.

One user claimed to have lost over $12,500. Some community members criticized Blast for negligence and lack of security checks.

Influencers and funds being so greedy about @Blast_L2 ecosystem that they are backing undoxxed founders with no track record in the industry.@riskonblast just rugged 500 ETH. Maybe next time perform some decent DD before putting your names as backers.

— CBB0FE (@Cbb0fe) February 25, 2024

“Influencers and funds are so greedy about the Blast ecosystem that they support unregistered founders with no industry experience,” noted a user.

Launched on November 22, 2023, Blast is a second-layer network based on Ethereum, offering a passive income of 4-5% annually. The mainnet launch is scheduled for February 26.

Back in December, before the launch of Sleepless AI farming on Binance’s Launchpool platform, unknown individuals conducted a rug pull of the token with the same name.