Check Point accuses crypto project DINGO of fraud

The research company Check Point Research, which studies cybersecurity issues, suspected the DINGO cryptocurrency project of a possible fraud.

Check Point disclosed on its blog an undocumented DINGO project backdoor feature called “setTaxFeePercent” that can arbitrarily change the fee for buying and selling a contract up to 99%, as opposed to the stated fee of 10% per transaction.

According to experts, this allows project owners to withdraw a significant portion of the amount whenever a user buys or sells a DINGO token.. Check Point has identified over 40 confirmed cases of token fraud using this feature.

For example, one user spent $27 to buy 427 million DINGO tokens, but instead received 4.2 million tokens, which is equivalent to $0.27 or 1% of the money invested. At the time of writing, Dingo Token is ranked 339th on CoinMarketCap with a price of $0.0000004554 and a market cap of around $67.1 million.

Last year, cybersecurity agency PeckShield reported that the developers of the Polygon-based web3 game Dragoma pulled $3.5 million out of the project through a rug pull scam.