The Incident
On Saturday, Gemholic, a project built on the zkSync blockchain, raised suspicions of a “rug pull.” A rug pull is a scam where developers suddenly abandon a project and steal investors’ funds.
In April 2023, Gemholic accidentally locked 921 Ether (ETH) in a smart contract. After zkSync’s help, the funds were unlocked on June 7, 2024. However, Gemholic then withdrew the 921 ETH, now worth $3.5 million, to an unknown wallet.
Social Media Disappearance
Gemholic has since deleted all its social media accounts, including Telegram and X. This has led to accusations of a rug pull, as the team had previously promised to resume the project after recovering the locked funds.
KYC Provider Criticized
SolidProof, a blockchain security company that conducted KYC (Know Your Customer) verification for Gemholic, has been criticized for its silence on the matter. Web3 developer @Nserec has accused SolidProof of trying to avoid spreading fear, uncertainty, and doubt (FUD).
Advice for Investors
Nserec has advised investors affected by the alleged rug pull to contact Binance, as Gemholic’s creator was initially funded by the exchange.
