Pond0x DEX claims $100M in trading volume as critics allege it’s a scam
As proof for Pond0X DEXs trading volume, the official channel cited a Dune control panel developed by user mogie, which reveals over $111 million in all-time trading volume as of September 29. Total volume metric for Pond0X. Source: @mogie Dune channelThe PNDX token released on July 28. At the time, critics accused the task of being a “rug-pull” or leave fraud. At concern was the unorthodox manner in which the tasks founder, Jeremy Cahen (also referred to as “Pauly”), introduced the coin. In the launch post on X (previously Twitter), Cahen published the URL to an app that enabled people to transfer a fixed quantity of Ether (ETH) to receive a set quantity of PNDX. He also published the agreement address for the token. In response, some investors began buying the coin on Uniswap, utilizing its contract address to identify it, while others deposited ETH into the app to get PNDX. The rate on Uniswap quickly increased above that of the ETH needed to mint PNDX, so minters began selling their coins into the market at an earnings. Critics claimed that this process transferred over $2 million of wealth from those who bought the coin on Uniswap to those who minted it utilizing the app. The ETH transferred through the app went into an agreement which contained no means of reclaiming the funds, leading critics to allege that the whole job was intended to drain funds from investors and send it to Cahen.In addition, coding specialists started claiming that the token lacked a normal transfer function. Instead of just permitting the token owner to move it, PNDX allowed anybody to move tokens. This indicated that each PNDX owner might lose their tokens anytime, considering that any developer could “steal” their PNDX using developer tools. On July 29, Solidity lover and blogger sm-stack declared they ran a test in Foundry that proved this point.However, more than 2 months after the projects launch, it continues to garner numerous supporters on Twitter, with replies to official posts routinely saying such things as “FEELS GOOD MAN” and “Best DEX, do not see a factor for individuals to utilize other tbh.” Best DEX, dont see a reason for people to use other tbh– Lemur (@OGLemur) September 28, 2023
Financiers formerly lost over $2 million in the launch of the exchanges native token, PNDX, when the coin turned out to have a transfer function that allowed anyone to move it without the owners consent. Source: @mogie Dune channelThe PNDX token released on July 28. The ETH deposited through the app went into an agreement that included no methods of recovering the funds, leading critics to allege that the entire project was intended to drain funds from financiers and send it to Cahen.In addition, coding specialists began claiming that the token did not have a typical transfer function. Rather of only enabling the token owner to move it, PNDX enabled anyone to transfer tokens. He also claims that the PNDX token “is essentially valueless,” which may have been developed ithis way “to avoid legal issues.
The Pond0X decentralized exchange (DEX) has actually reached more than $100 million in total trading volume, according to a September 28 social media post from its official channel. Investors formerly lost over $2 million in the launch of the exchanges native token, PNDX, when the coin ended up to have a transfer function that allowed anyone to transfer it without the owners approval. Advocates declare these losses were not the fault of the designer.$ 108,000,000 Trade Volume ✅ And counting.What follows …? pic.twitter.com/lpetFqJAkq— Pond Coin (@Pond0x) September 28, 2023
On July 29, crypto trader and blogger Antony Williams declared to have actually read the apps clever contract code and determined how it works. According to him, Pond0x is “essentially an LP Farm” and not a total fraud. The app problems each user an ID that identifies the users share of a pool of Pepe (PEPE) tokens. Users can increase the Pepe rewards they are entitled to by calling the “BribeforLevelUp” function. To call this function, the user should transfer 0.26 ETH. This ETH is used to buy Pepe tokens, which then get transferred into the swimming pool to pay benefits. The exchange also issues a “Score” to each user. Higher ratings represent more possible benefits from trading charges collected, all other elements being held constant.Related: BALD token developer rejects carpet pull as price falls 85% post-launchWilliams did not state these rewards could be claimed immediately, however asserted that the designer “most likely” has the intent to pay them out at some point in the future. He also declares that the PNDX token “is basically valueless,” which may have been developed ithis method “to prevent legal problems.”The task launched its decentralized exchange on September 1. According to the Dune control panel cited above, this DEX has actually now reached over $100 million in trading volume, revealing that a minimum of some traders are undeterred by Pond0X criticism.