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Scam Alert: SHIB and DOGE On Cardano Might Be Honeypots

27 Oct, 20222 min readAltcoins
Scam Alert: SHIB and DOGE On Cardano Might Be Honeypots

One of the biggest memecoins in the crypto industry has suddenly appeared on the Cardano network: users noticed SHIB and DOGE assets on popular Cardano tracking and analysis platform TipTool. However, it might not be safe to use them.

According to underlying data, both SHIB and DOGE currently have no bridging and are controlled by only a few wallets, which is a significant red flag since users' funds might end up in the hands of scammers.

Whenever assets from networks like Ethereum are listed on alternative blockchains like Cardano, users should see a certain bridging address that can be reviewed by anyone. If the address is authentic, there should be no problems using an asset.

However, we already mentioned that the listed assets have no bridge address listed, are controlled by only a few assets and have not been confirmed by any officials related to either Cardano-based applications or the aforementioned cryptocurrency.

There is a possibility that only a few individuals opened a contract and are now trying to collect funds from users who are willing to gain exposure to memetokens without leaving the Cardano ecosystem. Reportedly, only 200 ADA have been pooled to the Cardano-based Shiba Inu and Dogecoin.

Previously, scammers were actively launching numerous THE tokens after Vitalik Buterin shared the idea of creating a cryptocurrency that would gain a strong spot on the market thanks to the large number of cryptocurrency scammers on a social network like Twitter.

Most of the launched cryptocurrencies ended up being honeypots, with no real value behind them. Their creators rugged most of them almost instantly, even without providing proper liquidity or pushing some kind of marketing.

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