CBDAO ($BREE) Exit Scam

Notice: This page is a freshly imported case study from the original repository. The original content was in a different format, and may not have relevant information for all sections. Please help restructure the content by moving information from the 'About' section to other sections, and add any missing information or sources you can find. If you are new here, please read General Tutorial on Wikis or Anatomy of a Case Study for help getting started.

CBDAO

CBDAO boasted itself as a DAO, focused on decentralized consensus protocols. The smart contract hot wallet had a deliberate backdoor, which the team exploited to steal funds before deleting Twitter and other social media.

It is very likely that these fraudsters will not get away, as they were not very careful and some claim to know who they are.

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

About CBDAO

"Coin Breeder is a Decentralized Autonomous Organization (DAO), focused on researching & developing efficient Decentralized Consensus Protocols (DCP) on the blockchain. CBDAO is governed and ruled by a community of #DeFi developers, yield farmers and fans alike with the help of a decentralized, incentivized and cost-efficient consensus system."

"CBDAO serves as the ultimate sandbox for blockchain researchers, developers and users to proof-test and experience various governance protocols as a DAO. CBDAO actively on-boards new users by providing additional yield in the form of $BREE to users who are already familiar with DCPs as they hold and farm governance assets such as $MKR, $COMP, $SNX, $BAL, $DMG, $AKRO."

"Coin farming and yield generator DAO." "CBDAO aims to offer a Decentralized Autonomous Organization (DAO) sandbox for researchers, developers, and users to experiment and proof-test various decentralized consensus protocols on DAOs."

"Given that the team waited for the coin to bleed from $50 to under $4 and pulled the plug in order to secure (only) an extra $60,000 is quite sloppy. Prior to the pull, the team had been developing the project and meeting deadlines. They recently hired new team members and pushed a new website the night before the attack. Deadlines were met and their contracts worked."

"CBDAO ($BREE): The project had a presale for $SBREE tokens which would be swapped for $BREE. One of the admin wallets exploited a backdoor in the SBREE token contract, minted 50,000 SBREE, converted it to BREE and sold it on the market, pushing down the price of BREE at the expense of other holders. The 50,000 BREE was sold for under 200 ETH."

"This morning, one of the admin wallets exploited a backdoor in the Synthetic Bree (SBREE) token contract. They minted 50,000 SBREE, converted to BREE, and dumped onto the open market. Here is the mint, and here is the activity of the dev wallet. The original sale funds (roughly $1 million in ETH) are also as good as gone."

"The project is currently having a token swap from SBREE (synthetic BREE) to BREE." "There are reports that the CBDAO team has deleted the website and social media accounts. Please exercise caution when interacting with this address."

"Their twitter and medium accounts are gone. Price massively plunged. Really what a shame. Many people believed in this project and they do a rugpull like this. And they do it at the lowest point of people's lives right now. Thats why hodling doesn't work a lot of time. Crypto is a short term game of playing hot potato. You don't wanna be holding it too long or you are gonna get burnt."

"Fortunately, law enforcement has already been contacted, as have the exchanges and firms that did business with CBDAO (Binance, Bittrex, Poloniex, Etherscan, Somish labs). As information has been compiled and delivered to proper authorities, I will not spend time here to dox the suspects or divulge compiled information. There are many BREE holders working on compiling more information."

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.

Key Event Timeline - CBDAO ($BREE) Exit Scam
Date	Event	Description
October 8th, 2020 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?