A fake MetaMask Governance token surged by 2600% before getting rug-pulled, scamming hundreds in the process.
The rumors of a potential MetaMask governance token airdrop have been going rampant on Crypto Twitter for quite some time now. it appears that scammers are taking full advantage and have managed to lure several hundred users in their schemes.
MetaMask is the most popular non-custodial wallet for Ethereum and it played a huge role in the DeFi summer of 2020.
Ever since Uniswap airdropped its governance tokens, many decentralized projects are doing the same.
Now, users are speculating that MetaMask is going to do an airdrop and many seem to believe that their snapshots would be taken in a few days – on New Year’s Eve.
As of yet, though, these are only rumors and speculations as MetaMask hasn’t officially confirmed anything.
This is where scammers come into the picture. Someone has created a fake MetaMask governance token with the MASK ticker and has put it up for trading on Uniswap yesterday.
This was immediately detected by traders and over 390 users bought it as the token reached over $9 million in traded volume. At the time of this writing, the liquidity has been pulled.
One Twitter user reported that once approximately $1 million of the token was bought, sales were locked “and they’ll likely tornado cash out the money, the same way that they tornadod the initial money to fund liquidity.”
Other users have also reported getting scammed by this.
Georgi Georgiev is CryptoPotato's editor-in-chief and seasoned writer with over four years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping. Contact George: LinkedIn