TL;DR
Lena Network’s Token Candy Falls 87% After $2.9 Million Rug Pull.
Deployment of Lena Network transferred 753 Ether to OKX before relinquishing ownership of the contract.
Increased risks in cryptocurrencies: more than $200 million lost in 2024; $1.8 billion in 2023.
The recent crash of Lena Network’s Candy token has shaken the cryptocurrency world, leaving investors in shock after an 87% drop.
This dramatic drop, which occurred just hours after the launch of the token, was due to a rug pull that resulted in the loss of 753 Ether, valued at $2.9 million at the time of publication.
The Candy token, which had reached a daily high of $3.08, plummeted to $0.38, representing a significant loss for those who had invested in it.
On-chain data revealed that Lena Network’s deployment address transferred the funds to an address associated with the OKX exchange, shortly before the network officially announced that it was relinquishing ownership of the token contract.
This move raises questions about the transparency and reliability of the project.
Lena Network had raised over 850 ETH ($3.2 million) in its initial Candy farm offering, which ended on March 3.
However, the initial enthusiasm quickly faded when the Candy token launched on March 6 and suffered a steep drop in value.
This incident highlights the risks inherent in investing in the cryptocurrency market, where a lack of regulation can expose investors to fraudulent practices such as rug pulls.
The Lena Network case is not an isolated incident
According to a report by Immunefi, so far in 2024, more than $200 million in cryptocurrency has been lost due to hacks and rug pulls in 32 individual incidents.
This represents an increase of 15.4% compared to the same period last year.
In 2023, hacks and scams in the cryptocurrency space resulted in losses totaling $1.8 billion, with North Korea’s Lazarus Group taking credit for 17% of these losses.
These events highlight the need for increased surveillance and security measures in the cryptocurrency market to protect investors from potential fraud and manipulation.
The case of Lena Network’s Candy token serves as a stark reminder of the risks involved in the world of cryptocurrencies and highlights the importance of due diligence and caution when investing in emerging projects in this volatile and underregulated space.