KrakenBet Project Confirmed as a Scam: Beware of Interaction and Possible Losses

According to reports, according to CertiK monitoring, the KrakenBet project has been confirmed as a scam. Do not contact hxxps://krakenbet.xyz interaction. Since February, the Wallet Container contract address (0x0785ab399Ae207cE2c7A3eAC18eda16177fAD588) associated with the website has stolen approximately 1275 ETHs (approximately $23000).

The KrakenBet project is a scam, and the associated contract address has stolen approximately 12.75 ETHs

Are you familiar with the cryptocurrency exchange Kraken and its spin-off project KrakenBet? If so, you need to be aware of the recent reports that CertiK monitoring has confirmed KrakenBet as a scam.
KrakenBet was touted as a revolutionary betting platform that would use blockchain technology to ensure transparency and security for users. However, since February of this year, the Wallet Container contract address (0x0785ab399Ae207cE2c7A3eAC18eda16177fAD588) associated with the KrakenBet website has stolen approximately 1275 ETHs, valued at roughly $23,000 USD.

What is KrakenBet and Why Was it Attractive?

KrakenBet was a project launched by a team associated with the cryptocurrency exchange Kraken. It was advertised as a decentralized sports betting platform powered by blockchain technology. The platform was designed to provide transparent and secure betting options, leveraging the power of smart contracts for transactions.
KrakenBet was promising for several reasons. Firstly, it appealed to cryptocurrency enthusiasts who were looking for new use cases for their digital currencies. Smart contract powered betting appeared to be a viable solution that would incorporate the unique features of blockchain technology. Secondly, the proposed platform could potentially offer a more secure and transparent betting experience, free of corruption or exploitation.

What is CertiK and How Does it Monitor Scams?

CertiK is a blockchain-focused auditing firm that specializes in smart contract security. It offers auditing services to blockchain projects to help them identify and address vulnerabilities in their code. CertiK has established a reputation as a leader in blockchain security, with its auditing reports being trusted by major players in the industry.
CertiK monitors blockchain projects and their associated smart contracts for possible security issues and vulnerabilities. It assesses codebases to identify potential problems and provides reports explaining the risks discovered, the impact to the project, and any recommended remediation.

How Did KrakenBet Scam Users?

KrakenBet claimed that users could place bets securely and transparently on its platform. However, it appears that its contract address was set up to steal users’ ETH. The contract address was reportedly set up as a wrapper for a legitimate ERC-20 token, but with hidden code to exploit user transactions.
When users transferred their ETH to the contract address, the contract would automatically convert it to the ERC-20 token. However, part of the code would then trigger the contract to siphon the ETH into another address without the user’s knowledge or authorization.

How Can You Protect Yourself from Scams Like KrakenBet?

The rise of cryptocurrency has spawned a wave of fraudulent schemes aimed at stealing people’s money. Here are some tips to protect yourself from scams like KrakenBet:
– Do your research before investing in any new cryptocurrency project. Check the project’s website, social media, and online forums to get a sense of its legitimacy and reputation.
– Be cautious of promises of quick profits or returns that seem too good to be true. These are often red flags for fraudulent schemes.
– Don’t invest more than you can afford to lose. Cryptocurrency is still largely unregulated and volatile, so it’s best to treat it as high-risk investment.
– Use trusted exchanges and wallets to store and trade your crypto assets. This reduces the risk of losing your holdings to hackers or scammers.
– Consult with experts and professionals in the field, such as auditors or security analysts, to ensure the legitimacy and safety of a project.

Conclusion

The CertiK monitoring report has confirmed that KrakenBet is a scam aimed at stealing users’ ETH. Users should be cautious and avoid any interaction with hxxps://krakenbet.xyz, the associated website. It is important to follow the tips provided to protect yourself from scams, especially in the cryptocurrency space where risks are high.

FAQs

1. What is KrakenBet?
KrakenBet is a spin-off project associated with the cryptocurrency exchange Kraken. It was advertised as a decentralized sports betting platform powered by blockchain technology.
2. What is CertiK?
CertiK is a blockchain-focused auditing firm that specializes in smart contract security. It offers auditing services to blockchain projects to help them identify and address vulnerabilities in their code.
3. How did KrakenBet scam users?
KrakenBet’s contract address was set up to steal users’ ETH. The contract was reportedly set up as a wrapper for a legitimate ERC-20 token, but with hidden code to exploit user transactions. When users transferred their ETH to the contract address, the contract would automatically convert it to the ERC-20 token. However, part of the code would then trigger the contract to siphon the ETH into another address without the user’s knowledge or authorization.