NFT exchange SudoRare suffers $800,000 ‘rug pull’ six hours after launch

Quick Take

  • The “rug pull” drained about 519 ETH ($815,000) from the platform.
  • SudoRare only lasted six hours before the rug pull occurred.

SudoRare, a decentralized non-fungible token (NFT) exchange, has gone offline on Tuesday — six hours after it launched — with tokens worth over $800,000 removed from the platform’s wallet address.

Data from PeckShield show the funds have already been sent to three different wallets. PeckShield has identified one of the wallets as belonging to a user of crypto exchange Kraken.

PeckShield and other commentators have speculated that the founders of the project were behind its collapse. This is because they were the only people likely to have access to the liquidity in the pool; the hack happened very shortly after launch; it was an anonymous team and the team deleted all of the social media accounts and related websites moments after the event. As such, it's likely it was what's known as a "rug pull" — an event when a project's founders take all the money they can from their own project and abandon it.

The rug pull drained ether (ETH), looksrare (LOOKS), and USD Coin (USDC) tokens from the NFT exchange platform. The LOOKS and USDC tokens have already been swapped for ETH on Uniswap. In total, the rug pull drained 519 ETH ($815,000) from the platform.


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