According to a report by blockchain security firm Immunefi, BNB Chain had the highest amount of rugpulls in the first quarter of 2023.
Over 70% of all such scams occurring on the network. Rug pulls are scams where developers raise funds and then disappear without providing a product or service.
The report, titled “Crypto Losses in Q1 2023,” found that Ethereum and BNB Chain were the two primary targets for hackers and scammers, accounting for 68.8% of total losses from these networks combined.
BNB Chain made up 41.3% of total losses from hacks and scams. Immunefi Tech Lead Adrian Hetman speculated that the culture of using forked open-source code among developers on BNB Chain may be contributing to the prevalence of rug pulls on the network.
However, the report also noted that frauds, including rug pulls, made up only 4.3% of total losses in the crypto community, with hacks being the primary cause of losses in Q1 2023.
The quarter saw several high-profile hacks and exploits, including the DeFi lending app BonqDAO losing $120 million in a hack and Euler losing over $195 million of crypto in the largest DeFi attack of the quarter.
BNB Chain Rugpulls
In conclusion, BNB Chain had the highest number of rug pulls in Q1 2023, with 73% of all such scams occurring on the network, according to a report by Immunefi.
Ethereum and BNB Chain were the primary targets for hackers and scammers, but frauds, including rug pulls, made up only 4.3% of total losses in the crypto community. Hacks were the predominant cause of losses in Q1 2023, with several high-profile hacks and exploits, including the DeFi lending app BonqDAO and Euler.