Yet another memecoin has been subject to a rug pull, this time dragging Elon Musk’s name through the mud with the BabyMuskCoin.
The crypto industry has been plagued with malicious activity, with rug pulls hitting the hardest over the past couple of months.
As the popularity of Dogecoin rose after Tesla's CEO Elon Musk started propping it up on social media, there have been multiple projects that tried to replicate the success of DOGE by creating similar memecoins, or ones that relate with Musk.
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On Februrary 9th, a blockchain security company called CertiK announced that the BabyMuskCoin went down the drain in a matter of minutes.
According to the post, 1,571 BNB were extracted from the project, presumably by the creators of the project, and moved to Tornado cash, which is a protocol that increases the privacy of transactions via "breaking the on-chain link between source and destination addresses."
Right after that, the price of BabyMuskCoin plummeted by almost 100%, with users stuck in the honeypot, or, in other words, unable to sell their stash of tokens. Likewise, as with all rug pulls, the team behind the project deleted all of its pages on social media.
Initially, the project was seen as quite legitimate with an extensive roadmap, and initial coin offering (ICO) which raised more than $2 million. Even the alleged CEO of BabyMuskCoin Grant Liu stated that the project was merely in its beginning stages.
The beginning of this year left both the crypto and NFT industries crippled by various rug pulls. The latest one being the CxCoin, created by a famous Youtube personality Ice Poseidon.
