Investors lose $60m to invest in crypto project

Investors lose $60m to invest in crypto project

On 28 October, a new crypto project called AnubisDAO was launched. It positioned itself as a fork of the cryptocurrency OlympusDAO, which is a decentralised, autonomous organisation and managed by the community. Based on its name, AnubisDAO was dedicated to Anubis, the dog-headed Egyptian god of death. Apparently, the developers wanted to play on the popularity of the dog meme-tokens. And they succeeded.

In just one night, from October 28 to 29, the project raised $60 million in ETH. In exchange for the invested ethers, investors received ANKH tokens.

However, on October 29 at 14:58 MSK, the liquidity in the pool, which was used to sell tokens and support the price of ANKH, was emptied. The $60 million in ETH was sent to an unknown address.

The removal of liquidity from the pool was a bad sign, and the removal before the end of the sale was even worse. In all likelihood, investors were duped, only it is not fully known how:

  • It may have been a hacking attack. That is, the developers of AnubisDAO did not really want to deceive investors, but they themselves had their funds stolen.
  • It is possible that the developers of AnubisDAO defrauded investors. They collected the money and got away with it.

The price of the ANKH token immediately dropped to almost zero.

Jack Evans

About the author

I became a crypto asset owner in 2014, when the industry was in its infancy. Before that, I was working in the classic US and European stock markets. Since then, I have gained extensive experience in both cryptocurrency investing and day trading. I am happy to share with readers my experience with crypto exchanges, DeFi and NFT instruments. 

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