Solareum, a Solana-based trading bot on Telegram, has announced it will be closing down.
The decision has been made due to the project's funding challenges and a security breach, which was tied to a drain of over 2,800 Solana (SOL), equivalent to approximately $520,000, affecting over 300 users.
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Solareum was the first Solana trading bot with a built-in ETH-SOL bridge.
The project's closure was announced through their Telegram support channel. The announcement detailed the obstacles faced by the team, including "a combination of insufficient funds, evolving market trends, and a recent security breach."
Despite their best efforts to secure additional investments, adapt to market changes, and enhance security measures, the team admitted defeat in ensuring user safety due to a lack of funds.
The team has announced that they are contacting authorities to freeze the stolen funds if they are transferred to any centralized crypto exchanges.
They advised that as the shutdown of Solareum's services and functionalities begins, users should quickly retrieve any important data or assets.
In addition, the project's team went on X to address rumors suggesting that Solareum was involved in an exit scam, firmly stating that they did not steal user funds. However, they acknowledged that numerous Solareum users' wallets were drained, emphasizing that this incident was part of a larger pattern of exploits affecting other bots and dApps. The team added:
We advise everyone to please stop pointing fingers at us as we are the victim here.
As Solareum prepares to cease its operations, it raises discussions about broader issues within crypto regarding security.
In other news, a cybercriminal group has targeted Call of Duty gamers with malware, stealing credentials and Bitcoin from numerous players.
