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According to a Reddit post, the developer posted an unusual farewell note apologizing and blaming his online gambling problems after leaving the project in shambles, turning a $2 million estimate into $20,000 in minutes.
Several investors in the Encryption AI (0xEncrypt) project have reported that its developer made a carpet during the liquidity migration. As a result, a project token called 0xEncrypt fell from $2.05 to an all-time low of $0.02. Token data aggregator CoinGecko recorded a sharp drop in prices around July 2nd.
Unlike other scams, the developer decided to leave a letter to the project’s community, apologizing for his actions and blaming his gambling addiction, before disappearing and deleting all of the project’s social media platforms.
Various investors have shared a screenshot of the developer’s post on social media. In the post, the developer shared his struggles with gambling and highlighted that he lost $300,000 at an online casino. In addition, while the developer could not guarantee that he would make corrections or restart the project, he promised to “work hard to become better.”
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Community members were outraged by the rug pull, with some wishing karma on the developer, while others described the move as the worst birthday present and the strange ending to the rug pull.
This one hurts bad. #0xEncrypt dev just rugged hard on the migration.
Twitter has also been deleted.
Played us all the way.
I feel sick.
Karma is coming for you, scumbag. pic.twitter.com/o2axnvFZFN
— GEMINHIGH (@geminhighi) June 2, 2023
Cryptocurrency trader Duddy lamented that the fight happened right on his birthday. A Twitter user said he lost about $30,000 by trusting the developers and investing in the project. On Reddit, a community member described the act of a developer leaving a lengthy note as “weird way to go crazy” as developers often simply disappear without a trace after doing such actions.
Meanwhile, Binance Chief Security Officer Jimmy Su recently spoke to Cointelegraph about how dark web attackers are trying to steal cryptocurrencies from users. Hackers have a well-established ecosystem of intelligence gatherers, data miners, hackers and money launderers, Su said.