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    Frosties nft collection – NFT Gmaes

    frosties nft collection

    Along with the money went the trust and goodwill essential to getting a project merging new forms of art and finance off the ground.

    Rug pulls have become a major form of crypto fraud, making up nearly 40% of crypto scams and costing users about $2.8 billion last year, up from just 1% the previous year, according to Chainalysis.

    The Frosties scam led to the theft of at least $1.2 million, moved in a series of rapid transfers of funds from Frosties’ OpenSea wallet to other accounts, leaving a community, which numbered roughly 40,000 at its peak, stunned.

    “My initial thought was like, ‘F—, this is awful,’” Christian said. “Honestly, I couldn’t believe it at first,” Kotter said. “It was a lot of anxiety — and I can’t say I got good sleep.”

    Frosties NFTs on OpenSea.Screenshot: OpenSea

    Kotter’s Frosties journey began on an upbeat note.

    Frosties nft collection

    The investors of Frosties NFT got tricked into the project via guarantee of giveaways and rewards. Investors linked to an NFT (non-fungible token) collection named Frosties, have been swindled for more than $1M.

    Up to $1.3M swindled from the investors of Frosties NFT

    As per the available data, there were more than 8,888 NFTs in the respective collection with 0.04 ETH (nearly $120) as its base price. During just an hour, the entire amount of NFTs was sold, nevertheless rather than acquiring the rewarded assets thereof, it was detected by the investors that the communication channels interlinking the community members were deactivated by the project developers.

    It was further disclosed by Etherscan that the majority of the funds had been moved from the wallet linked with the OpenSea account of the project to some other wallet by the developers.

    Just Ashley, who has been investing in NFTs since 2018, said this was her first rug pull. Still, she said she will continue to invest since she enjoys the community she fosters despite the inherent risks. “It can be a little bit like gambling, so never spend more than you can afford to lose,” she told Insider.

    NFTs — digital representations of artwork, sports cards, or other collectibles tied to a blockchain — have surged in popularity in the past year as investors from Wall Street and Hollywood get onboard.

    And as the market continues to boom, scams are also on the rise. Last year, the estimated value of rug pull scams totaled $2.8 billion, according to Chainsalysis.

    Frosties nft collection-make

    You will likely be getting a lot of heat,” the developer wrote, adding that he was sending them some ether “for your troubles.” Andre and Katelyn have kept a low profile and haven’t been active in the rebuilding effort, according to Kotter.

    One legacy of Frosties may be a cultural change around anonymity in crypto. “Doxxing” used to be a dirty word in internet culture, meaning the involuntary unmasking of an anonymous user’s personal information. Reddit explicitly bans doxxing, and a recent article in BuzzFeed News caused an uproar when it revealed the names of two Bored Ape Yacht Club creators who had previously gone by pseudonyms, even as the value of the company behind it, Yuga Labs, soared into the billions.

    But doxxing is starting to take on a new meaning: the voluntary self-identification of a project’s developer to engender trust.

    Frosties nft collectionneuse

    News came in on January 10th after a Twitter post by one of the people who invested in the Frosties NFT collection. He informed followers that all social media accounts belonging to Frosties were closed right after the collection got sold out.

    First rug pull of the year = FROSTIES NFT.

    Web, Twitter, and Discord down simultaneously. They put alot of effort into their discord for weeks with sneak peaks, games/quizzes, etc. Sometimes this space sucks.

    — Yelow (@yelownft) January 9, 2022

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    The Frosties collection had a limited number of 8,888 NFTs that were sold at an average price of 0.04 ETH (~$134) per piece.

    Frosties nft collections

    It was supposed that the project of Frosties NFTs would have some huge strategies for the investors because it assured to provide breeding and metaverse functions. Apart from this, it was additionally promised by the project that holders rewards such as airdrops, giveaways, instant reach to games based on metaverse, as well as, unique mint passes for the impending seasons.

    Marcellus King – an investor that is a novice in the space – stated that almost $3000 was invested by him in the project. He added that he was initially skeptical regarding the project however was convinced after witnessing that a growing community was becoming a part of the project along with the provision of an artwork, a seemingly legal site, and an account on OpenSea.

    It had “a thriving community with a lot of activity, a roadmap, legitimate looking site, OpenSea account, and artwork,” Marcellus King, an investor who lost around $3,000 to the scam, told Cryptoslate.

    The arrests took place ahead of a second NFT drop from the same duo scheduled for this month. A 5,555-piece collection advertised as Embers was expected to bring in an additional $1.5 million, reports Reuters. Authorities believe that the two were planning to repeat the Frosties con, promising Embers buyers perks like giveaways, a DAO, airdrops, collaborations, and a 50,000-person Discord channel.

    “Each individual Ember is carefully curated from over 150 traits, along with some incredibly rare 1/1s that have traits that can’t be found from any other Ember,” reads the project’s webpage.

    Frosties was a buzzy project whose 8,888 NFTs — priced at the Ethereum equivalent of roughly $130 — sold out within an hour of the public launch.

    But as chronicled by Protocol, the creators abandoned it almost immediately. Buyers earned only a few dollars when they tried to resell their NFTs, and they gave up any hope of seeing future promised rewards, including 3D versions of their avatars and a Frosties video game. (Some scammed community members nonetheless attempted to resurrect the Frosties as a separate NFT lineup.) Now, the two men behind Frosties have been arrested in Los Angeles, California.

    The complaint includes an apparent apology and confession from Nguyen to the moderator of the Frosties community Discord server. “I know this is shocking, but this project is coming to an end.

    She started getting into NFTs last year and was drawn to the Frosties project which she said looked “really professionally done.” There were things she found curious about the community, like the fact that, unlike with other NFT projects, the Frosties managers did not disclose their identities to reassure prospective buyers. But, Kotter said, she “went into it anyway.”

    So did Christian, who spent about $1,000 on three Frosties which cost about $112 each in ether, including gas fees. “I really like the art style. They looked really cute on the website. Frosties had a feeling that people would buy that, you know.” In the world of NFTs, that means the collection could be worth a lot of money.

    Take the Bored Ape Yacht Club, which has attracted celebrity buyers including Justin Bieber, who reportedly bought one for $1.3 million. Corporations are getting in on the action, too.

    But NFTs, Christian predicted, are “going to blow up in the coming years.”

    Some of the Frosties victims are trying to rebuild the community through a technical maneuver called wrapping — taking the tokens issued in the scam, which still exist on the blockchain, and placing them under an entirely new smart contract outside the original developer’s control. Christian said he paid $140 to wrap his three Frosties into the new contract.

    The “Wrapped Frosties,” as the group is called, set up a new page on OpenSea. The page recently listed a “floor,” or lowest price for the collection, at 0.005 ETH, or about $13.11.

    Everybody was freaking out,” the 26-year-old artist told Protocol.

    A few hours later, in Singapore, a sales manager who asked to be identified only as Kerry and who, together with a friend, purchased about 160 Frosties worth about 12 ETH, more than $45,000 at that time, woke up to “many messages telling me a rug was pulled.”

    By then, thousands of Frosties realized that they had been scammed, confirmed by a tweet on the Frosties Twitter account before it subsequently disappeared. “I’m sorry,” it read.

    Frosties, which had become the latest star of the NFT world as 2022 began, just as quickly became the year’s most notable scam. It was a rug pull, a trick where creators of a cryptocurrency or an NFT artwork or game abruptly shut down the project, make away with the project funds and disappear.

    Read more: The 1.1m nft frostiesrobertson – Krypto-NFTs

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