The WTF token airdrop ended up draining 58 ETH from the users as they reported losing thousands of dollars as we are reading further in our latest altcoin news.
The WTF token airdrop got off to a wild launch. Fees.wtf is a simple service that shows ETH users their lifetime spending amount on Ethereum blockchain transactions by measuring gas as you only plug in your wallet address on the website and it tells you how much gas you spent. The project released the WTF token in an airdrop. The users were able to claim WTF tokens as well as REKT NFTs and its grants lifetime access for the pro version of Fees.wtf.
The proceeds from the token transfer fees are sitting in their contract ready to be siphoned to the team/DAO or whatever they call it nowadays.
6,168,806 WTF($476,509) gathered in the 8 hours since launch.https://t.co/9wAFlPNYSW pic.twitter.com/iI62vbo8Yi
— Lefteris Karapetsas | Hiring for @rotkiapp (@LefterisJP) January 14, 2022
According to the Discord announcement, the launch planned to offer 100 million WTF tokens and the circulating supply with the main attraction being in the tokenomics but it didn’t quite go as planned. Following the frantic trading behavior between bots in the opening hours of the airdrop and it ran off with a reported 58 ETH or $180,000 and according to Etherscan 58, ETH was drained from the Wrapped ETH and wTF liquidity pool.
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The social media channels were fast to respond because most airdrop participants lamented losing thousands of dollars in ETH and the team chimed in two hours after the airdrop to claim the ranks:
“Immediately on launch there was only a tiny bit of liquidity and there were ape bots that were chucking in 100s of ETH into a pool with an ETH or two of liquidity. They also had high slippage and ended up being sandwiched by the other bots which essentially drained all their ETH.”
Within five minutes of the token launch, the poor liquidity pool management from the WTF developers left the pool exposed as there was low liquidity the bots were able to manipulate the price of WTF to sell for wETH. The bots battled it out until one winner took home the prize and the bot stole from users who provided liquidity to the pool while claiming their WTF tokens and Rekt NFT. The victor managed to send ultra-fast transactions at 3000 GWEI with a 6x return on the initial investment.
The price graph of the tokens since the launch painted a while another picture and the initial spike shows the bot activity swiftly followed by a 10x loss in price. Some Twitter users called out the project as a Ponzi scheme and the referral element to the project seems spurious. The referrers of the WTF project claim 50% on fees to make the coin go viral while the WTF team earns 4% from the transfers.
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