CEO of DeFi YFI Token Fork, Asuka, Exit Scams 2 Days After Launching; Binance To Investigate

Jongchan Jang, CEO of Asuka token, a Yearn Finance (YFI)-fork token, is said to have exit scammed the project just two days after launch, on August 3.

Over the past few months, the crypto world has taken off with a helping hand from the DeFi market. The yield farming craze has seen blockchains like Compound, Balancer, etc. take off in a massive way, as investors chase the crazy annual yields these DeFi platforms offer. However, a report from Korea points to a DeFi exit scam conducted by a well-known person in the Korean crypto community – Jongchan Jang.

Jongchan Jang, CEO of Asuka token, a Yearn Finance (YFI)-fork token, is said to have exit scammed the project just two days after launch, on August 3. This was revealed by Korean media outlets. Jang also shut down the project's website and social pages, causing the price of the ASUKA token to collapse from $1600 early on Monday GMT to about $18 per token at 1 PM GMT.

According to the Asuka.Finance website (now closed), the ASUKA token, once dubbed the Dogecoin of DeFi, has a limited supply and distribution like YFI, with only about 21,000 tokens ever to be produced. More details on the token reveal that the “YFI clone” aimed at ‘farming' nearly half of the tokens.

To stake Asuka tokens, users had to buy the Maker stablecoin – DAI – and place the tokens in a Balancer liquidity pool. Once in the pool, the deposit earns a certain “BPT” token, which is then farmed (staked back) into the protocol. Almost 10 billion Won was staked in the liquidity pool fund, but Jang could not access this amount as he burned the key to the pool.

Binance set to Trace Jang

According to some sources, the DAI exit scam was made clear to Binance leaders, and now the exchange is looking into the matter to freeze these accounts. In a statement released to one of the crypto news outlets, Binance stated,

“We have identified the relevant account(s). Binance will assist Korean law enforcement in their investigation once we receive a request from them. As always, we will continue to strive for heightened security both on our platform and for the greater crypto space.”

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Lujan Odera
Lujan Odera
Lujan is a blockchain technology and cryptocurrency author and editor. He has worked in the field of cryptocurrencies and blockchain technology since 2015 helping him gain enough experience to be the writer he is today. He is known for his simple writing style that allows novices to understand the field in the simplest way.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Investors With Low Financial Literacy Are Twice As Likely to Own Crypto vs Market Gurus: Bank of Canada Report

A new study released by the Bank of Canada has revealed that folks with lower financial literacy are more likely to own Bitcoin than...

Love it or Hate it, UNI Token Stands to Benefit from Uniswap’s Evolution

After releasing the UNI token as part of Uniswap V3, the first update for Uniswap V3 has been made on Github. It might say...

Israeli Draft Bill Proposes Bitcoin be Defined as Currency to Cut Down the Hefty Capital Gain Tax

Four members of the Knesset, Israel’s legislative body, from the Yisrael Beiteinu faction, the secular nationalist political party, have submitted a private member’s bill...

TRON Partners With BitGo To Mint New Wrapped Bitcoin And Ethereum Tokens On Its Blockchain

TRON launches wrapped Bitcoin and Ethereum on its blockchain. The blockchain aims at taking over the raging DeFi market. Tron announced a partnership with...

More Urgent than Ever – Ethereum Layer 2 Solution Goes in its First Phase of Testnet Launch

Ethereum layer 2 solution Optimism is welcoming the first phase of the Optimistic Ethereum Testnet. This development has become a necessity of the market thanks...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today