Airdrop culture could pose integral threat to DeFi industry

EtherWrapped, a project designed to provide a yearly summary of users nonfungible token (NFT) activity, launched a little over eight hours ago to palpable fanfare within the crypto community.

The website detailed a plan to airdrop YEAR tokens based upon quantitative engagement statistics in users’ MetaMask wallet, or in simpler terms, their number of transactions, volume traded and gas fees, among other data.

Upon verification on EtherScan, a number of well-regarded developers and engineering experts in the space assessed the coding of the smart contract. Meows.eth noted that these parties saw a “presence of a function titled _burnMechanism,” but concluded that it was merely a harmless error by the seemingly amateur creator.

However, unbeknown to all, the creator of the contract maliciously planted this flaw in order to administer the “revokeOwnership” function soon after, designating ownership to themselves and subsequently orchestrating a honeypot scenario in which users could only buy, not sell, the asset.

Consequently, those who had connected their wallet and received the airdropped token witnessed their asset soaring in value, and as…

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