Peckshield, a group of smart crypto sleuths, has found out how Dragoma, a recently “launched” Web3 gaming platform, drained the project’s funds and ran away.
Those who wake up to check their Dragoma tokens ($DMA) will be in for a big surprise. Most of the liquidity for the once-hyped gaming utility token has moved to centralized exchanges. At the same time, the project website and social media accounts have all but disappeared.
Warning signals before the heist
In the past few weeks, it seemed like the Dragoma project was getting a lot of attention. It promised to build an adventure-style game on the Polygon network with collectible NFTs and an onboard economy. The wheels fell off, though, early on August 8. The price of a token dropped 99.87 percent, from a high of $1.34 to a low of $0.0012. Investors lost about $3.5 million worth of assets, according to Peckshield, who reports that the funds seem to be going to centralized exchanges.
With the falling value of tokens plus the shut down of both Twitter and Discord channels, then you have all the signs of a classic rug pull. But with the centralized exchanges added to the mix, hopefully, a little bit of Know Your Customer (KYC) will bring them down.
Dragoma is like Solana’s step-to-earn game STEPN. The team positioned it as a Web3 lifestyle game, and players could earn the DMA token by doing things like training a dragon or fighting with their pets.
Tokens that can’t be traded are an important part of the game. The dragon eggs will hatch after the player walks 500 meters every day for 40 days. Dragoma World’s beta version was supposed to come out at the end of August.