Cryptocurrency investors beware: Dingo Token has been identified as a potential scam by researchers, who have uncovered backdoor functionality designed to effectively steal users’ funds. Despite its relatively small market cap of close to $11m, Dingo Token has raised red flags due to the implementation of a 95% “taxFee” and a 4% “LiquidityFee” within its smart contract.
Security experts at Check Point have found that the token’s developers have utilized the “setTaxFeePercent” function in the smart contract code a concerning 47 times. Oded Vanunu, head of product vulnerabilities research at Check Point, noted that such tactics are becoming more common in the cryptocurrency space, as scammers are attracted to the anonymity, speed, and profitability of digital assets.
Users have already reported being scammed on Twitter, with one individual claiming to have lost 90% of their tokens during a transfer. The value of Dingo Token has surged 36% in a single day, reaching over $67m and climbing to #338 on CoinMarketCap. However, there are fears that the developers may activate the backdoor to siphon off 99% of users’ coins once the value peaks.
Despite the promise of significant gains in the crypto market, investors are urged to exercise caution and only transact on credible exchanges with established tokens. The volatile nature of cryptocurrency makes it a prime target for scammers, who are constantly devising new ways to exploit unsuspecting users.
In conclusion, while the allure of cryptocurrency may be strong, it is crucial to remain vigilant and informed when navigating this rapidly evolving landscape. By staying informed and conducting thorough research before investing, users can better protect themselves from falling victim to scams and fraudulent schemes.