Ethereum DApp 333ETH meets MetaMask
As reported recently by The Next Web's cryptocurrency column, MetaMask, the start of cryptocurrency known for the DAFC explorer / access point (wallet) and decentralized application, has just classified a popular Ethereum DApp as a " active scam ", inserting the process into the blacklist.
MetaMask is the main way for investors and cryptocurrency enthusiasts to access popular Ethereum apps, so a blacklist of MetaMask is a great stop for any aspiring cryptocurrency startup company that may be interested in 39; use of the smart contract. – focused applications.
Users with the installed MetaMask extension will now receive an intense warning message (see below), which highlights the apparent scam if they attempt to visit the 333ETH site, the DApp that was called by the above-mentioned startup.
So why did it happen? You could ask for it.
Well, after taking a quick dive into the suspected scam, it became apparent that behind MetaMask's move there is credibility in taking such drastic actions. 333ETH is a self-proclaimed platform of "automatic distribution of investments" that promotes daily returns that would envy investors in legacy capital markets – if the service were legitimate.
The reason why the platform has failed is due to its assertion that, after having taken the initial allocation of capital of the investor for "marketing", "technical support" and "payroll", users they will be able to get a 3.33% dividend on their investment every day through a smart contract system. Anyone with a minimum of mathematical skills can quickly make the numbers and realize that such returns are almost impossible to offer, as compounds of interest that you are probably aware of.
By doing some math for napkins, the dividend amount offered would be exacerbated by hundreds of thousands of percent in the space of a year, which is obviously unattainable even for the most successful traders and fund managers. . Not only that, but the reported service offers a reference service, which made many skeptics think about the recently deceased BitConnect.
Despite clear signs that 333ETH is performing a semblance of a classic Ponzi or pyramidal scheme, 333ETH remains the most popular app on DAppRadar, a popular statistics viewer and cryptocurrency provider. In fact, it currently has over 1,700 active users who have earned over $ 3 million worth of Ethereum from the smart contract in the last 30 days.
In addition, according to the so-called "Ethereum Phishing Detector", the site turned out to be a scam, indicating that there is something going crazy. Not only this but also several members of the cryptocurrency community have come to say that there is something suspicious about the investment opportunities offered by 333 ET.
Mashable contributors have recently compared the platform to a Ponzi scheme, referring to the clear pyramid structure and very high yields.
While 333ETH is a subject of growing controversy, its smart contract still holds over 7,000 ETHs, or about $ 1.5 million in dollar terms, and it seems that this balance will not diminish anytime soon.
Photo of chinmayee bagade on Unsplash