Using a strategy of creating and then abandoning meme coins, an unidentified con artist has acquired more than $315,000 worth of Ethereum (ETH). In a series of tweets, blockchain analysis platform Lookonchain revealed the scheme's tactics and provided Etherscan links to the four meme coins TOMMY, KSI, ZUCK, and BILL.
<h2>Fraudster minted 2 new image coins with just $3,200 in ETH</h2>
The fraudster's business as usual involved the production of an image coin with a limited quantity of ETH, giving liquidity to acquire financial backer trust. The con artist would remove the liquidity once sufficient investment was attracted, effectively taking the investment for themselves. For instance, the con artist used 1.5 ETH (or $3,200 at the time of withdrawal) from the cryptocurrency exchange KuCoin to create the TOMMY meme coin. Later, he or she left with 28.7 ETH, which represents an impressive return of 1,813%. A similar methodology was recreated with the KSI, ZUCK and BILL image coins, where the trickster figured out how to net 140 extra ETH. The fraudster has since made two new image coins, WALTER 2.0 and GIGA 2.0, and has added liquidity, however no withdrawal has yet been accounted for.
<h2>Lookonchain warns investors to stay away from 'image coins'</h2>
[embed]https://twitter.com/lookonchain/status/1677975773318352896[/embed]

Lookonchain cautioned expected financial backers of the circumstance and asked them to keep away from these two tokens. The new episode highlights the inborn dangers implied in the image coin market, where significant yields frequently remain closely connected with high gamble. Investor education is becoming increasingly important in the rapidly changing and frequently unregulated world of cryptocurrencies, as shown by Lookonchain's reminder to investors to be cautious and investigate the creator of any meme coins they are considering purchasing.

ETH Fraudster Makes Over $315K on Meme Coin Scam

Lookonchain cautioned expected financial backers of the circumstance and asked them to keep away from these two tokens.

Sonakshi is into the crypto world ever since she heard about it and is pursuing her interest through Cryptoknowmics. She is a sensational poet, technical writer and content strategist.

ETH Fraudster Makes Over $315K on Meme Coin Scam

Top Picks