There have been several scam projects aimed at confusing AssangeDAO – created to support Wikileaks creator Julian Assange and raised $39 million in just a few days.

According to blockchain security firm PeckShield, a fake version of the DAO is working on Binance Smart Chain and the developers have done it cheat at least 536 users who exchanged their ETH for DAO tokens.

The total value of the stolen funds is unknown as the AssangeDAODAO tokens are not traded on open markets and cannot be traced. However, the bscscan site has tracked at least 1,867 transactions.

The developers opted for 100% sales tax, which allows the contract creator to receive the funds in full once the user decides to sell the token for any reason. In order not to get caught in the honeypot contract, PeckShield has urged users to do their own research and be very careful.

Scams are common

Previously, PeckShield published a list of 50 tokens whose contracts had some kind of vulnerability that allowed developers to steal or gain access to user funds.

In addition to many projects leaving “backdoors” in their smart contracts to steal illicit funds, hackers can sometimes exploit vulnerabilities of large projects and platforms like OpenSea and Rarible.

Previously, a hacker could make a profit by selling and buying NFT on two different platforms, which allowed them to buy tokens at a lower market price and sell them at a higher price.

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