2022 is starting with a new scam called $YEAR. This token was launched as an airdrop for Ethereum (ETH) users on the EtherWrapped website. However, the anonymous team behind this token created an innovative way to scam investors. In this way, $YEAR became the first scam of 2022.
$YEAR Token Airdrop Scam
If you have been in the cryptocurrency market in recent years, then you are used to hearing about different scams and hacks. 2022 is not the exception and it started with a rug pull that hit the entire crypto and DeFi (decentralized finance) ecosystems.
It is very common for projects that start in the cryptocurrency market to airdrop their tokens in order to gain visibility. This was the case for $YEAR.
Everything started with the price of the token moving higher. However, the interesting thing was that there were no sell orders. This is something very strange. Investors tend to leave the market as soon as they make a profit, but this was not the case for this virtual currency.
As the market continued moving higher and users couldn’t sell the token, this triggered increased interest for this virtual currency. This vicious circle in which the price of the token moved higher and investors purchased more $YEAR created a situation in which the price of the token skyrocketed.
This was the moment in which the team behind $YEAR activated the sell option and sold their tokens, crashing the price of this digital asset from almost 0.0009 ETH to 0.000118 ETH. This happened in just minutes right before the end of the year.
Everything took place on the EtherWrapped platform that let users engage with different smart contracts. According to a Web3 expert, there has been a function on the code that was called _burnMechanism, despite the fact that it looked innocent, it was the one that helped the team behind $YEAR to block the sale of new tokens.
It would be very important for investors this year to watch out about what could happen in 2022 with other projects that could work in similar ways. This is very important as it would avoid problems for thousands of investors from all over the world. Investing requires careful analysis.
Let’s not forget that in 2021, the WallStreetBets movement created a FOMO situation with different stocks and digital currencies. This is something that could happen at any moment and that could be financially harmful to users and investors from all over the world. Hence, it is very important to avoid these types of projects.