How much was lost in the BitPaid hack?

The BitPaid hack resulted in $37K in losses on May 13, 2023.

What attack technique was used in the BitPaid exploit?

The BitPaid exploit utilized Rugpull. Understanding this attack vector is critical for smart contract auditors and developers building secure DeFi protocols.

How can developers prevent similar smart contract attacks?

Preventing smart contract hacks requires a combination of secure coding practices, thorough security audits, and understanding common attack vectors like reentrancy, oracle manipulation, and access control flaws. Smart Contract Hacking (SCH) provides hands-on training to help developers and auditors identify and prevent vulnerabilities before deployment.

BitPaid Hack

TOTAL LOST $37K

Low May 13, 2023 Rugpull

Affected Chain 2023 Incident surface

Recovered - No recovery reported

All-Time Rank #1785 By amount stolen

Protocol Type Exit Scam/Rugpull Target category

Incident Overview

Quick Summary

BitPaid project was rugpulled by the deployer-related EOA, who removed liquidity worth of 31,140 $USD.

Details of the Exploit

BitPaid is a BEP20 token trading on PancakeSwap. The project experienced a significant liquidity removal. An EOA address received $BTP tokens from the BTP deployer and added liquidity to PancakePool using claimed tokens multiple times.

Liquidity was removed in three transactions, and the total drained amount reached 37,140 $USD. All the stolen funds remain at the scammers original address.

Block Data Reference

Deployer Address:

https://bscscan.com/address/0x7c2545bd…5459fc

Scammer Address:

https://bscscan.com/address/0x2d904e85…82456d

Liquidity Removal Transactions:

https://bscscan.com/tx/0x8dc983bd…ad6dcd

https://bscscan.com/tx/0x962a5d35…b7f3aa

https://bscsan.com//tx/d5e059f919daf7d0ac3d101dc3902f3985637c633c724be0c8521ae61f5b77d2

Relation Proof Transaction:

https://bscscan.com/tx/0x247a48a8…4cbb56

Incident Report

Protocol / Project BitPaid

Date of Incident May 13, 2023

Attack Technique Rugpull

Classification Token

Primary Source View Post-Mortem

Protocol Information

Protocol Type Exit Scam/Rugpull

Affected Token BTP

Protocol Twitter/X @bitpaidio

Team Anonymous

Source Code Verified On-Chain

What the Attacker Needed to Succeed

Understanding the prerequisites for this type of attack helps auditors identify protocols that are most at risk and helps developers build better defenses.

Technical Knowledge Deep understanding of rugpull and Solidity and EVM internals

Capital Required Seed capital to cover gas and initial position setup

On-Chain Access Ability to interact with smart contracts and deploy a custom exploit contract

Protocol Analysis Identification of the exploitable vulnerability in BitPaid's contract logic - root cause: token

Execution Speed Precise transaction ordering and timing to exploit the vulnerability within a single atomic block

Obfuscation Plan A strategy to launder and move stolen funds - typically through mixers, cross-chain bridges, or decentralized DEX swaps to resist tracing

What Auditors Should Check

Could this have been caught in audit? Hard to catch — private key / OpSec failures are outside smart contract audit scope

If you're auditing a protocol with similar architecture to BitPaid, these are the critical security checks that could have prevented this incident (May 2023).

Verify all logic paths related to Rugpull are guarded by proper access controls and input validation
Review privileged functions (owner, admin, governance) for potential abuse vectors - centralization risks should be documented and bounded with timelocks or multi-sigs

Master these auditing techniques with hands-on labs and real exploit scenarios in the Smart Contract Hacking course.

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Sources & References

01
Source 1 https://twitter.com/bitpaidio

Threat Assessment

Severity Level

LOW

Attack Vector Rugpull
Root Cause Token
Year 2023

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