Ordinals Finance Exit Scam🥷

Ordinal Finance Rug Pull results in loss of over $1 Million of User Funds. Stolen funds have already been sent to Tornado Cash Coin Mixer for transaction obfuscation.

Ethereum-based DeFi protocol Ordinals Finance deleted all its online presence after emptying its smart contracts. The project has deleted its social media presence, including its official Twitter handle and website.

Rug Pull/Exit Scam

Rug Pull is when a project’s creators abscond with their investors’ funds by draining all liquidity from the protocol.

Ordinals Finance is an Ethereum-based protocol that claims to facilitate the borrowing and lending of Bitcoin Ordinals inscriptions. There was no official association between Ordinals Finance and Bitcoin Ordinals Inscriptions.

Note: Ordinals Finance is NOT associated with Bitcoin Ordinals

CertiK, a blockchain security firm alerted users to an exit scam orchestrated by Ordinals Finance on April 24.

On-chain data shows that the Ordinal’s deployer address pulled 256 million OFI tokens from the project’s smart contracts and swapped them for ETH through multiple transactions. Another 13 million OFI tokens were withdrawn through an “ownerRewithdraw” function, seemingly allowing the deployer address to pull all the staked tokens from the contract.

CertiK reported that the total loss from the rug pull was 550 ETH, worth around $1 million. The funds are now being laundered through coin mixer Tornado Cash, according to on-chain data. 

Ordinals Finance’s native token OFI had a market cap of $2.3 million as of Monday, but a 95% price decline that followed news of the exit scam likely made the funds drained worth closer to CertiK’s estimates.

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