Half of Solana Pre-Sales Are Scams, Blockaid Says

According to Blockaid, a security company specializing in blockchain technology, approximately half of the recent pre-sale token offerings on the Solana platform have been identified as malicious.

Malicious individuals have exploited social engineering methods on platforms such as Telegram, Twitter, and Discord to deceive users into engaging with harmful smart contracts or websites.

“Ben Natan, Blockaid CEO, shared with CoinDesk that their team is paying equal attention to memecoins and established initiatives. In the very near future, some well-known projects have been drawn into the spotlight by certain groups.”

In simpler terms, a pre-sale involves a token issuer sharing their smart contract address and asking investors to send cryptocurrency tokens as a down payment. The promise is that once the pre-sale concludes, newly minted tokens will be distributed proportionally based on each investor’s deposit size.

The simple start of a token’s pre-sale and the investor anxiety not to miss an opportunity have fueled a notable surge in fraudulent schemes.

“Natan mentioned that the allure of memcoins has grown increasingly hard to resist for some users, potentially leading them to engage with harmful individuals unknowingly.”