What happened
Investors of the Chessfarm.Tech project were betrayed due to the project deployers privileged withdrawal access, which enabled the deployer to extract approx. $167k from the project.
The Chessfarm.Tech project was a DEX, deployed on the Binance Smart Chain. The project promised to have tackled problems such as hyperinflation and price dumping through its new fair chess distribution. Only 5% of the staking rewards were supposed to go towards the team in order to fund further developments.
The contract deployer added initial liquidity at:
and made the $CHESS token tradable on pancake swap.
Merely 5 days later the contract deployer used a hidden migration functionality under the reduceReward() function, by invoking it, the deployer received all deposited tokens from the staking smart contract, as can be seen in the following example transactions:
The received tokens were then sold by the contract deployer as can be seen in the example transaction:
The deployer managed to gain around $BNB 4000 and decided the funds for Binance BTC tokens at:
The received $BTCB were distributed between different external addresses and deposited into Binance exchange, here an example:
The deployer also made sure to remove the liquidity in order to maximize his profit:
Example Transactions (Reduce Rewards)
Example Transaction (Deployer Dumping)
Protocol details
Evidence
- report Report chessfarm.tech
- analysis Web Archive web.archive.org
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