Smart contract failures are the quickest way to get exploited, and the latest project to find out is Banana Gun. Moreover, the newly launched token was pumped, dumped, and burnt a few degens.
Within hours of launching, the Banana Gun project announced a smart contract bug, resulting in the collapse of the BANANA token.
Big BANANA Dump
Even in a bear market, degens will pile into a project, hoping to get rich quickly. The latest, Banana Gun, is a Telegram trading bot launched on the back of the success of Unibot.
On September 12, Bitcoiner Kyle Chassé observed that a newly created pair on Uniswap (BANANA/wETH) had surged to a fully diluted value of almost $68 million.
The new BANANA token surged as high as $8.70 before crashing to $0.02 around three hours later.
Calls of a rug pull quickly populated crypto social media feeds, but the team behind the project had another reason.
The team behind the project stated, “We have a bug in our contract we cannot hotfix,” before adding:
“Despite two audits, there is a bug in the contract with our taxes, which allows people to sell their bags while having tax tokens remaining in their wallet.”
Read more: Understanding Smart Contracts: Read, Write, and Audit
It said the first step was to sell the treasury wallet to drain the locked liquidity pool so they could reuse it for the new contract. Secondly, “We will relaunch ASAP with an airdrop so everyone will be made whole,” it added.
A few hours later, the team added,
“Sh***y situation, but we’re going to do everything to make it right. We are having our new contract audited, but won’t launch until we are sure everything is in order.”
ChatGPT Discovers Flaw
The story has another twist, however. A pseudonymous coder claimed to use OpenAI’s ChatGPT to discover the contract flaw.
“Banana claimed they had 2 audits. So I asked for a third one on my favorite auditor: ChatGPT. And it found the bug.”
By then, the damage was done. Scott Melker, aka “The Wolf of All Streets,” commented.
“Apparently people made and lost a ton of money on something called Banana Gun today that has a bug and doesn’t even work. Crypto Twitter stupidity is undefeated. It’s the worst soap opera that’s impossible to turn off.”
BANANA is also the name of the native token for the Cyber Kongz NFT collection which was founded in March 2021.
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