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A decentralized financing project built on blockchain finance loses $ 31 million in its first day

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Just one day after launching the “Meerkat Finance” project on the “Binance Smart Chain” blockchain, “Meerkat Finance” project management released yesterday a message stating that hackers stole $ 31 million from their digital wallets.

Although the project management authorized the hacking operation, the investors see that there is a fraud on the part of the project developers and believe that they stole their money and fled with it.

The project management indicated that there is a flaw in the “Yield Farming” protocol in the project, which enabled one of the hackers to break into the project’s wallets, according to a report issued by The Block.

According to the project management, shortly after the break-in, the hacker depleted the project’s portfolio, which contains $ 31 million, consisting of 13.96 million of the “BUSD” and “BNB”, with a value of about $ 17.4 million.

After the alleged hack, the project’s Twitter account and website were offline and the founders were inaccessible.

This made many followers see that the project is fraudulent, and as such, it is the largest fraudulent project based on the blockchain Binance.

A Binance supervisor on Telegram stated that Binance has investigated the project and uncovered exactly what happened.

Many decentralization enthusiasts are attacking that the blockchain Binance is centralized and controlled by Binance and can reverse and undo transactions.

Accordingly, if it was found that the “Meerkat Finance” project actually pulled the rug from under the feet of the investors in it, the retreat from the transactions may be beneficial to the investors who have lost their money.

As Binance extinguishes this fire, it must also extinguish many other fires, most notably the response to allegations that many of the projects on its network are imitations of Ethereum.

Blockchain-based “Musical Beats” was previously closed after it was proven to be an alleged replica of the Ethereum-based “EulerBeats” project.

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