Pond0x DEX Touts $100M Quantity Amidst Rip-off Allegations

Decentralized change (DEX) Pond0x has reportedly achieved a complete buying and selling quantity exceeding $100 million regardless of rip-off allegations.

In a latest put up on X (previously Twitter), the challenge’s official channel referred to a Dune dashboard that displayed over $111 million in all-time buying and selling quantity as of September 29.

As of now, the dashboard reveals a complete buying and selling quantity of $112.4 million. 

Pond0x’s newest milestone comes regardless of considerations and allegations of scams surrounding the launch of the change’s native token, PNDX.

The controversy started when the challenge launched the PNDX token on July 28. 

Critics accused the challenge, led by founder Jeremy Cahen (also referred to as “Pauly”), of being a rug pull or exit rip-off. 

The considerations centered across the unconventional method through which Cahen launched the coin. 

In a put up on X (previously Twitter), Cahen shared the URL to an app that allowed customers to deposit a hard and fast quantity of Ethereum (ETH) in change for a hard and fast quantity of PNDX. 

He additionally offered the contract deal with for the token.

In response, some buyers bought the coin on Uniswap utilizing its contract deal with, whereas others deposited ETH into the app to obtain PNDX. 

Traders Lose $2M in PNDX

The worth of PNDX on Uniswap shortly surpassed the worth of the ETH required to mint PNDX, prompting minters to promote their cash in the marketplace for a revenue. 

Critics argued that this course of transferred over $2 million from those that purchased the coin on Uniswap to those that minted it utilizing the app. 

The ETH deposited by way of the app went right into a contract with none technique of reclaiming the funds, resulting in allegations that the challenge was designed to empty funds from buyers and profit Cahen.

Moreover, coding specialists raised considerations in regards to the token’s lack of a standard switch operate.

As a substitute of limiting token transfers to the proprietor, PNDX allowed anybody to switch tokens. 

This meant that PNDX house owners had been vulnerable to dropping their tokens at any second, as any programmer might “steal” their PNDX utilizing developer instruments. 

On July 29, Solidity fanatic and blogger Sm-stack claimed to have carried out a check in Foundry that proved this vulnerability.

Regardless of these points, Pond0x continues to draw a big variety of supporters on Twitter, with some expressing constructive sentiments in regards to the challenge.

For one, crypto dealer and blogger Antony Williams, who claimed to have examined the sensible contract code of the app, acknowledged that Pond0x is essentially an LP Farm and never an entire rip-off. 

The app assigns every consumer an ID, which determines their share of a pool of Pepe tokens. Customers can enhance their Pepe rewards by calling the “BribeforLevelUp” operate, requiring a deposit of 0.26 ETH. 

This ETH is used to buy Pepe tokens, that are then added to the pool for rewards. 

The change additionally assigns a “Rating” to every consumer, representing their potential rewards from buying and selling charges.

Williams famous that these rewards might not be instantly claimable, however he believes the developer seemingly intends to distribute them sooner or later. 

He additionally instructed that the PNDX token itself is basically worthless, probably created on this method to keep away from authorized issues.