Monad Fake Token Rug Pull

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Monad Logo/Homepage

Monad is a blockchain which specializes in offering high throughput through parallel execution. In early April a fake Monad token was launched and had the liquidity (74 ETH) pulled out.

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

About Monad

"Extreme Parallelized Performance Superscalar Pipelining for the EVM

Monad is a decentralized, developer-forward Layer 1 smart contract platform that ushers in a new paradigm of possibility through pipelined execution of Ethereum transactions.

Crafted for productivity, fundamentally optimized."

"Monad supports 10,000 transactions per second, significantly increasing throughput capabilities and opening doors for distributed applications--even those with greater complexity and higher usage--to run in a decentralized manner."

"Fake Monad on ETH is suspected of a rug pull, with the deployer removing substantial liquidity, causing a 100% price decline."

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 - Monad Fake Token Rug Pull

Date	Event	Description
April 9th, 2024 6:00:00 AM MDT	Fortune Article	Monad is featured in Fortune Magazine for their $225m funding round from Paradigm.
April 9th, 2024 7:17:00 AM MDT	Monad Announces Fundraiser	Monad anounces the fundraiser by Paradigm on their Twitter.
April 9th, 2024 9:32:00 AM MDT	CoinDesk Article	Monad is featured in CoinDesk for their $225m funding round from Paradigm.
April 10th, 2024 9:28:59 AM MDT	First Transaction	The first transaction on tehe faek Monad token.
April 10th, 2024 9:36:35 PM MDT	Liquidity Drained	The liquidity is drained from the fake monad token.

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

The total amount lost has been estimated at $266,000 USD.

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

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

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?

Ongoing Developments

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

Individual Prevention Policies

No specific policies for individual prevention have yet been identified in this case.

For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.

Platform Prevention Policies

Policies for platforms to take to prevent this situation have not yet been selected in this case.

For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.

Regulatory Prevention Policies

No specific regulatory policies have yet been identified in this case.

For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.