The Blast Network’s layer 2 project, RiskOnBlast, has suffered a major vulnerability attack, commonly referred to as a “Rug pull,” resulting in the loss of approximately 500 Ether ( ETH ).

The theft came as a surprise to the crypto community, mainly because it was the first of its kind in the Blast Layer 2 ecosystem. A disturbing incident occurred when some community members noticed that RiskOnBlast's social media presence had suddenly been deleted.

Analysts pointed to an elaborate deception, with cryptocurrency journalist Colin Wu stating that RiskOnBlast’s official X account went dark shortly after the funds were siphoned off.

Other prominent figures in the cryptocurrency space, including analysts and investors, have expressed their dismayed views, with some questioning the scrutiny involved with the RiskOnBlast venture, despite the fact that the founders of the venture are anonymous and do not have a good reputation. , but it's still supported.

RiskonBlast investors lament losses

Investors such as MoonCat2878 also shared their personal losses and claimed that they lost significant amounts of money due to growing dissatisfaction among Blast network users.​

They informed X of the situation and expressed their willingness to contribute to the fund recovery efforts. MoonCat2878 pledged to donate 1 ETH and was willing to provide $12,500 to blockchain investigator ZachXBT to help recover the lost funds.

The cryptocurrency investor recounted how they initially viewed RiskOnBlast as a promising investment opportunity after seeing positive signals from reputable accounts and partners within the Blast ecosystem. However, subsequent changes to the public offering, resulting in an uncapped funding round, raised suspicion.​

Attempts to seek clarification from the RiskOnBlast team resulted in delayed and unsatisfactory responses, which highlighted red flags that MoonCat2878 regretted not investigating further. Despite a later decision to limit the sale, suspicions proved correct when the project suddenly resulted in losses for investors.

Other Blast users, such as Blokzi.eth, claim that the platform’s endorsement of RiskOnBlast led them to believe in its legitimacy, but that trust was broken, resulting in financial losses.

Blast's reputation

The Blast Network, a layer 2 solution built for Ethereum to improve transaction throughput and cost efficiency, has gained traction in the cryptocurrency space from high-profile backers like Paradigm.​

Co-founded by Blur co-founder Tieshun Roquerre, aka Pacman, the platform is known for its optimistic roll-up technology and its ability to host Ethereum decentralized applications (dapps) without changing the codebase.

However, many are skeptical of the Blast ecosystem’s security protocols in the wake of the alleged disruption caused by Rug Pul.

The technology community, including Coinbase’s Andrew Choi, has been actively engaged in discussions seeking answers to how such a significant breach of trust could occur in the emerging blockchain network.

As the fallout from the Rug pull unfolds, the Blast ecosystem is at a crossroads, faced with regaining the confidence of its users and stakeholders.

Investigations are continuing to uncover the details of the incident, and there are calls for action and redress in the crypto world. #Blast  #Rugpull