fake delivery startup steals $500,000 in cryptocurrencies – Finance – Tecnoblog

A curious startup called “CryptoEats” was recently launched in the UK under the promise of becoming a competitor to Uber Eats by offering delivery services with options of cryptocurrency payments. A number of influencers were used to publicize the new service. However, the project did not even exist and its creators got away with about $500,000 in digital coins.


Bouncer Influencer in CryptoEats Outreach Video (Image: Playback/ YouTube)

The scammers made all the promotional material for the launch of the ghost company. The service looked legitimate, a press release was posted on the GlobeNewswire, a platform regularly used by large companies to post official releases. Several influencers were also paid to spread the word about CryptoEats, which would work from the newly created token EATS, designed for payments within the delivery application.

CryptoEats looked legitimate and promising.

In the statement, the project’s developers said they had raised $8 million in funding, partnered with “thousands of restaurants” and contracted a fleet of couriers capable of rivaling leading UK delivery services such as Uber Eats. The company even promised deliveries in five minutes for customers and fixed salaries with commissions for couriers.

“How could such a simple idea of ​​accepting cryptocurrencies as a form of payment for food delivery attract so much interest from the crypto community?… CryptoEats is the first practical step in enabling people to use cryptocurrency as a form of payment for everyday products in the real world .”

CryptoEats developers in press release

Even a launch party was held this last Sunday (17), where the scammers announced the creation of the new cryptocurrency and publicized the startup. Through marketing ploys on social media, the EATS token quickly piqued interest of people and started to be bought, exchanged for Binance Coins (BNB) through decentralized exchanges.

CryptoEats delivery uniform in promotional video (Image: Playback/ YouTube)
CryptoEats delivery uniform in promotional video (Image: Playback/ YouTube)

The fastest cryptocurrency scam in history?

However, immediately after the launch of the ghost company, the project was deleted from the networks, its creators disappeared and took about US$ 500 mil em BNB, from EATS token purchases. So far, there is no information about the whereabouts of the scammers. Funds were transferred from the project’s main digital wallet to a series of parallel addresses to make tracking difficult.

CryptoEats has been classified as a “rug pull”, in which false services or companies raise money from investors and disappear. This isn’t an unprecedented scam or the biggest cryptocurrency theft involving this type of fraud, but this case draws attention because of the speed at which it all happened.

Within days CryptoEats created a promising project image in the cryptocurrency universe and within minutes of its launch it disappeared from the face of the Earth. According to the statement published by the scammers, the founder of the project would be called “Wade Wills”, which is probably a made-up name and related to fake profiles.

Theft of cryptocurrencies (Image: Marco Verch/Flickr)
Theft of cryptocurrencies (Image: Marco Verch/Flickr)

One of the influencers hired to publicize the ghost startup manifested itself on their networks. Promoter Bouncer and DJ Charlie Sloth (who has a million followers on Instagram) promoted the company and its app, according to videos archived by the channel. Scarcity Studios. bouncer said the business seemed to be real, having seen t-shirts, packaging and even bicycles with the supposed company’s logo. He denies any involvement in the coup.

With information: Vice

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