October 31, 2021

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.

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Jack Evans

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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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