Benebit Exit Scam - Revision history

Azoundria at 19:44, 10 May 2024

2024-05-10T19:44:27Z

← Older revision		Revision as of 13:44, 10 May 2024
Line 4:		Line 4:
	[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.		[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.

	This is a global/international case not involving a specific country.<ref name="ducktatormedium-5702" /><ref name="newsdotbitcoin-5842" /><ref name="benebitarchive-5843" /><ref name="benebitarchive-5844" /><ref name="financemagnates-5845" /><ref name="retaildive-5846" /><ref name="coinbureau-5847" /><ref name="bitcoinexchangeguide-5848" /><ref name="youtube-5849" /><ref name="icowatchlist-5850" /><ref name="benebitlinkedin-5851" />		This is a global/international case not involving a specific country.<ref name="ducktatormedium-5702" /><ref name="newsdotbitcoin-5842" /><ref name="benebitarchive-5843" /><ref name="benebitarchive-5844" /><ref name="financemagnates-5845" /><ref name="retaildive-5846" /><ref name="coinbureau-5847" /><ref name="bitcoinexchangeguide-5848" /><ref name="youtube-5849" /><ref name="icowatchlist-5850" /><ref name="benebitlinkedin-5851" /><ref name="comparitech-10032" />

	== About Benebit ==		== About Benebit ==
Line 62:		Line 62:
	\|		\|
	\|}		\|}

			== Technical Details ==
			This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?

	== Total Amount Lost ==		== Total Amount Lost ==
Line 117:		Line 120:
	<ref name="icowatchlist-5850">[https://icowatchlist.com/benebit-2/ The Benebit ICO Might Be a Scam \| ICO Watch List] (Jan 20, 2022)</ref>		<ref name="icowatchlist-5850">[https://icowatchlist.com/benebit-2/ The Benebit ICO Might Be a Scam \| ICO Watch List] (Jan 20, 2022)</ref>

	<ref name="benebitlinkedin-5851">[https://www.linkedin.com/company/benebit/about/ https://www.linkedin.com/company/benebit/about/] (Jan 20, 2022)</ref></references>		<ref name="benebitlinkedin-5851">[https://www.linkedin.com/company/benebit/about/ https://www.linkedin.com/company/benebit/about/] (Jan 20, 2022)</ref>

			<ref name="comparitech-10032">[https://www.comparitech.com/crypto/cryptocurrency-scams/ Worldwide crypto & NFT rug pulls and scams tracker - Comparitech] (Dec 15, 2022)</ref></references>

Azoundria at 16:33, 14 April 2023

2023-04-14T16:33:56Z

← Older revision		Revision as of 10:33, 14 April 2023
Line 1:		Line 1:
	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}}		{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}}
	{{Unattributed ~~Citations~~}}		{{Unattributed Sources}}

	[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.		[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.<ref name="ducktatormedium-5702" /><ref name="newsdotbitcoin-5842" /><ref name="benebitarchive-5843" /><ref name="benebitarchive-5844" /><ref name="financemagnates-5845" /><ref name="retaildive-5846" /><ref name="coinbureau-5847" /><ref name="bitcoinexchangeguide-5848" /><ref name="youtube-5849" /><ref name="icowatchlist-5850" /><ref name="benebitlinkedin-5851" />
	<ref name="ducktatormedium-5702" /><ref name="newsdotbitcoin-5842" /><ref name="benebitarchive-5843" /><ref name="benebitarchive-5844" /><ref name="financemagnates-5845" /><ref name="retaildive-5846" /><ref name="coinbureau-5847" /><ref name="bitcoinexchangeguide-5848" /><ref name="youtube-5849" /><ref name="icowatchlist-5850" /><ref name="benebitlinkedin-5851" />

	== About Benebit ==		== About Benebit ==
Line 55:		Line 54:
	!Description		!Description
	\|-		\|-
	\|January 22nd, 2018 ~~12:00:00 AM~~		\|January 22nd, 2018
	\|Main Event		\|Main Event
	\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.		\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
Line 82:		Line 81:
	== Ongoing Developments ==		== Ongoing Developments ==
	What parts of this case are still remaining to be concluded?		What parts of this case are still remaining to be concluded?
			== Individual Prevention Policies ==
			{{Prevention:Individuals:Placeholder}}

			{{Prevention:Individuals:End}}

			== Platform Prevention Policies ==
			{{Prevention:Platforms:Placeholder}}

			{{Prevention:Platforms:End}}

			== Regulatory Prevention Policies ==
			{{Prevention:Regulators:Placeholder}}

	== Prevention ~~Policies ==~~		{{Prevention:Regulators:End}}
	~~Which policies could have prevented this event from happening?~~

	== References ==		== References ==

Azoundria at 05:32, 17 February 2023

2023-02-17T05:32:15Z

← Older revision		Revision as of 23:32, 16 February 2023
Line 1:		Line 1:
	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}}		{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}}
			{{Unattributed Citations}}

	[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.		[[File:Benebit.jpg\|thumb\|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.
			<ref name="ducktatormedium-5702" /><ref name="newsdotbitcoin-5842" /><ref name="benebitarchive-5843" /><ref name="benebitarchive-5844" /><ref name="financemagnates-5845" /><ref name="retaildive-5846" /><ref name="coinbureau-5847" /><ref name="bitcoinexchangeguide-5848" /><ref name="youtube-5849" /><ref name="icowatchlist-5850" /><ref name="benebitlinkedin-5851" />

	== About Benebit ==		== About Benebit ==
Line 33:		Line 35:

	Don't Include:		Don't Include:

	* Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.		* Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
	* Anything that wasn't reasonably knowable at the time of the event.		* Anything that wasn't reasonably knowable at the time of the event.
Line 55:		Line 56:
	\|-		\|-
	\|January 22nd, 2018 12:00:00 AM		\|January 22nd, 2018 12:00:00 AM
	\|~~First~~ Event		\|Main Event
	\|~~This is an expanded~~ description of what happened and the impact. If multiple lines are necessary, add them here.		\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
	\|-
	\|
	\|
	\|
	\|-		\|-
	\|		\|
Line 68:		Line 65:

	== Total Amount Lost ==		== Total Amount Lost ==
	The total amount lost ~~is unknown~~.		The total amount lost has been estimated at $4,000,000 USD.

	How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?		How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?
Line 79:		Line 76:

	== Total Amount Recovered ==		== Total Amount Recovered ==
	~~It is unknown how much was~~ recovered.		There do not appear to have been any funds recovered in this case.

	What funds were recovered? What funds were reimbursed for those affected users?		What funds were recovered? What funds were reimbursed for those affected users?
Line 87:		Line 84:

	== Prevention Policies ==		== Prevention Policies ==
			Which policies could have prevented this event from happening?

	== References ==		== References ==
	[https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af] (Jan 17)		<references><ref name="ducktatormedium-5702">[https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af] (Jan 17, 2022)</ref>

	[https://news.bitcoin.com/benebit-ico-runner-2-7-million-investor-funds/ Benebit ICO Does a Runner with $2.7 Million of Investor Funds – Crowdfunding Bitcoin News] (Jan 20)		<ref name="newsdotbitcoin-5842">[https://news.bitcoin.com/benebit-ico-runner-2-7-million-investor-funds/ Benebit ICO Does a Runner with $2.7 Million of Investor Funds – Crowdfunding Bitcoin News] (Jan 20, 2022)</ref>

	[https://web.archive.org/web/20180111043603/https://benebit.io/en Benebit ICO] (Jan 20)		<ref name="benebitarchive-5843">[https://web.archive.org/web/20180111043603/https://benebit.io/en Benebit ICO] (Jan 20, 2022)</ref>

	[https://web.archive.org/web/20180117201711/https://benebit.io/en Benebit ICO] (Jan 20)		<ref name="benebitarchive-5844">[https://web.archive.org/web/20180117201711/https://benebit.io/en Benebit ICO] (Jan 20, 2022)</ref>

	[https://www.financemagnates.com/cryptocurrency/news/benebit-ico-scammed-investors-least-2-7-million/ Benebit ICO Scammed Investors for At Least $2.7 Million \| Finance Magnates] (Jan 20)		<ref name="financemagnates-5845">[https://www.financemagnates.com/cryptocurrency/news/benebit-ico-scammed-investors-least-2-7-million/ Benebit ICO Scammed Investors for At Least $2.7 Million \| Finance Magnates] (Jan 20, 2022)</ref>

	[https://www.retaildive.com/news/benebit-aims-to-shake-up-fragmented-loyalty-environment/513264/ Benebit aims to shake up fragmented loyalty environment \| Retail Dive] (Jan 20)		<ref name="retaildive-5846">[https://www.retaildive.com/news/benebit-aims-to-shake-up-fragmented-loyalty-environment/513264/ Benebit aims to shake up fragmented loyalty environment \| Retail Dive] (Jan 20, 2022)</ref>

	[https://www.coinbureau.com/ico/benebit-biggest-ico-exit-scam-history-nets-4-million/ Benebit - The Biggest ICO Exit Scam In History Nets Up to $4 Million - Coin Bureau] (Jan 20)		<ref name="coinbureau-5847">[https://www.coinbureau.com/ico/benebit-biggest-ico-exit-scam-history-nets-4-million/ Benebit - The Biggest ICO Exit Scam In History Nets Up to $4 Million - Coin Bureau] (Jan 20, 2022)</ref>

	[https://bitcoinexchangeguide.com/benebit-pulls-an-exit-scam-disappearing-with-3-million-in-ico-funds/ Benebit Pulls An Exit Scam, Disappearing With Million In ICO Funds] (Jan 20)		<ref name="bitcoinexchangeguide-5848">[https://bitcoinexchangeguide.com/benebit-pulls-an-exit-scam-disappearing-with-3-million-in-ico-funds/ Benebit Pulls An Exit Scam, Disappearing With Million In ICO Funds] (Jan 20, 2022)</ref>

	[https://www.youtube.com/watch?v=6zJV-34-m0M BENEBIT: THE CRYPTOCURRENCY FOR CUSTOMER LOYALTY - YouTube] (Jan 20)		<ref name="youtube-5849">[https://www.youtube.com/watch?v=6zJV-34-m0M BENEBIT: THE CRYPTOCURRENCY FOR CUSTOMER LOYALTY - YouTube] (Jan 20, 2022)</ref>

	[https://icowatchlist.com/benebit-2/ The Benebit ICO Might Be a Scam \| ICO Watch List] (Jan 20)		<ref name="icowatchlist-5850">[https://icowatchlist.com/benebit-2/ The Benebit ICO Might Be a Scam \| ICO Watch List] (Jan 20, 2022)</ref>

	[https://www.linkedin.com/company/benebit/about/ https://www.linkedin.com/company/benebit/about/] (Jan 20)		<ref name="benebitlinkedin-5851">[https://www.linkedin.com/company/benebit/about/ https://www.linkedin.com/company/benebit/about/] (Jan 20, 2022)</ref></references>

Azoundria: Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}} BenebitBenebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors. This is a global/international case not involving a specific country. == About Benebit == "A g..."

2023-01-24T21:10:12Z

Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}} thumb|BenebitBenebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors. This is a global/international case not involving a specific country. == About Benebit == "A g..."

New page

{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/benebitexitscam.php}}

[[File:Benebit.jpg|thumb|Benebit]]Benebit ran a large ICO for their loyalty project, based on a large fake team. The website disappeared on January 22nd, 2018, along with between $2.7m and $4m of invested funds. It does not appear that any effort was made to recover the investors.

This is a global/international case not involving a specific country.

== About Benebit ==
"A global decentralized ecosystem that enables interaction without borders between brands, companies and consumers and is built on Blockchain technology. Benebit is a disruptive network for the cashback and loyalty market based on blockchain technology. The unbeatable social component of Benebit’s model is professionally designed to meet the highest standards of business/consumer interaction for securely storing and exchanging all kinds of user and brand data for the promotion of discounts, special deals, cashback and loyalty programs. Benebit simplifies and introduces a new way for businesses and consumers to interact, which drives traffic, increases loyalty and trust, and enhances convenience and security."

"Benebit used mighty marketing tools and boasted a quality white paper. That was enough to raise millions of dollars through ICO. The feature of their product was merging diverse loyalty programs under their brand. One day it was revealed that all passport data of the company founders is fake. It was the end of Benebit, but unfortunately, the villains successfully disappeared and took the people’s money."

"Earn money back with every purchase and benefit from Cashback and Loyalty Points every time you shop. Start using and redeeming your customer points right away." "An all-in-one platform that creates added value for customers as they shop at their favourite companies as well as increases brand exposure via targeted Loyalty and Cashback Programs." "Expand your customer base and increase sales at low costs with Benebit's consumer behaviour analytics, user data insights and other metrics that build brand trust and loyalty."

"Benebit, a startup with a platform that would convert loyalty and rewards points across multiple retailers and other kinds of businesses into a unified system of fiat currency, is planning to commence its initial coin offering on Jan. 22, according to a company press release."

"Benebit.io disappeared offline on January 22." "Benebit, one of this year’s most hyped ICOs, has pulled an exit scam, making off with a reported $2.7 million of investor funds. Other estimates put the figure as high as $4 million. The fraud only came to light after someone noticed that the team photos had been stolen from a school website. Once this happened, the Benebit team scampered, taking their ill-gotten gains with them. The case is believed to be the largest ICO exit scam to date." "Benebit also had over 9,000 Telegram followers and a positive rating on ICO review websites."

"As of January 22, Benebit is no more: its site is gone and most of its social channels erased, save for Telegram, where bewildered investors are still performing a post-mortem. On paper, Benebit looked legit, having been active on Twitter for over a year and developed a sizeable community. Believers in the project had no hesitation in dipping into their pockets to fund the venture: one claims to have lost 14 BTC and another 300 ETH in the pre-ICO, which was only a day old."

This is a global/international case not involving a specific country.

The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.

Include:

* Known history of when and how the service was started.
* What problems does the company or service claim to solve?
* What marketing materials were used by the firm or business?
* Audits performed, and excerpts that may have been included.
* Business registration documents shown (fake or legitimate).
* How were people recruited to participate?
* Public warnings and announcements prior to the event.

Don't Include:

* Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
* Anything that wasn't reasonably knowable at the time of the event.
There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.

== The Reality ==
This sections is included if a case involved deception or information that was unknown at the time. Examples include:

* When the service was actually started (if different than the "official story").
* Who actually ran a service and their own personal history.
* How the service was structured behind the scenes. (For example, there was no "trading bot".)
* Details of what audits reported and how vulnerabilities were missed during auditing.

== What Happened ==
The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.
{| class="wikitable"
|+Key Event Timeline - Benebit Exit Scam
!Date
!Event
!Description
|-
|January 22nd, 2018 12:00:00 AM
|First Event
|This is an expanded description of what happened and the impact. If multiple lines are necessary, add them here.
|-
|
|
|
|-
|
|
|
|}

== Total Amount Lost ==
The total amount lost is unknown.

How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?

== Immediate Reactions ==
How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?

== Ultimate Outcome ==
What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?

== Total Amount Recovered ==
It is unknown how much was recovered.

What funds were recovered? What funds were reimbursed for those affected users?

== Ongoing Developments ==
What parts of this case are still remaining to be concluded?

== Prevention Policies ==

== References ==
[https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af https://medium.com/@ducktator/ico-scams-hall-of-fame-dc915f1189af] (Jan 17)

[https://news.bitcoin.com/benebit-ico-runner-2-7-million-investor-funds/ Benebit ICO Does a Runner with $2.7 Million of Investor Funds – Crowdfunding Bitcoin News] (Jan 20)

[https://web.archive.org/web/20180111043603/https://benebit.io/en Benebit ICO] (Jan 20)

[https://web.archive.org/web/20180117201711/https://benebit.io/en Benebit ICO] (Jan 20)

[https://www.financemagnates.com/cryptocurrency/news/benebit-ico-scammed-investors-least-2-7-million/ Benebit ICO Scammed Investors for At Least $2.7 Million | Finance Magnates] (Jan 20)

[https://www.retaildive.com/news/benebit-aims-to-shake-up-fragmented-loyalty-environment/513264/ Benebit aims to shake up fragmented loyalty environment | Retail Dive] (Jan 20)

[https://www.coinbureau.com/ico/benebit-biggest-ico-exit-scam-history-nets-4-million/ Benebit - The Biggest ICO Exit Scam In History Nets Up to $4 Million - Coin Bureau] (Jan 20)

[https://bitcoinexchangeguide.com/benebit-pulls-an-exit-scam-disappearing-with-3-million-in-ico-funds/ Benebit Pulls An Exit Scam, Disappearing With Million In ICO Funds] (Jan 20)

[https://www.youtube.com/watch?v=6zJV-34-m0M BENEBIT: THE CRYPTOCURRENCY FOR CUSTOMER LOYALTY - YouTube] (Jan 20)

[https://icowatchlist.com/benebit-2/ The Benebit ICO Might Be a Scam | ICO Watch List] (Jan 20)

[https://www.linkedin.com/company/benebit/about/ https://www.linkedin.com/company/benebit/about/] (Jan 20)