Founder of Whales Market, creator of Solana-based GM.AI protocol, accused of rug pull

WhalesMarket Founder, Behind Multiple Crypto Projects, Accused of Rug Pull

Here is a rather surprising story brought to the fore by one of the most active members of the Solana blockchain community, FabianoSolana. On X, this person spoke out this weekend about the founder of the Whales Market trading platform, whom he accuses of rug pulling.

This is why you're supporting a serial rugger by buying and selling on @WhalesMarket

Meet the guy who scammed the Crypto Community for millions while living a luxurious entrepreneur lifestyle pic.twitter.com/g9MInsH389

— fabiano.sol (@FabianoSolana) September 15, 2024

Known on the social network under the pseudonym Dexter_cap, FabianoSolana did not hesitate to reveal his true identity. The founder of Whales Market is said to be none other than Hung Dinh, an entrepreneur known for being at the center of several crypto projects that have not achieved the expected success..

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Among his many creations, we find Rada Networka network that functioned as both a launchpad and a venture capital firm and which did not hesitate to invest in many projects related to web3. Today, the project is at a standstill. : the entity's website is no longer accessible and its social networks are inactive.

FabianoSolana also mentions other projects undertaken by Hung Dinh such as The Parallel and Orbitau, both focused on the metaverse, or DeFi Horse, based on the famous Rada network. All these projects have been flashy failures, and even suggest some excesses.

However, it is the latest project led by Dexter_cap that is fueling the current controversy. Dubbed GM.AI, Hung Dinh's new project presents itself as an artificial intelligence (AI)-driven protocol on Solana and designed to improve the functionality and interoperability of decentralized applications (dApps).

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GM.AI, the straw that broke the camel’s back?

Last March, a native token associated with this project is announced. In all, $30 million raised in just a few dozen minutes in order to finance the launch of this cryptocurrency and the development of the protocol via a Solana address.

Quickly, The funds were allegedly sent to Binance. For FabianoSolana, this maneuver would have allowed Dextercap to convert this money into stablecoins, fearing that the price of SOL, the token associated with Solana, would fall.

While Hung Dinh claimed that GM.AI tokens would not be generated in the coming months, citing tensions in the crypto market, The cryptocurrency was launched in August. However, as soon as the tokens are generated, The cryptocurrency's price collapsed and its total capitalization barely exceeded $2 million15 times less than the amount collected 6 months earlier.

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In his initial post, FabianoSolana expressed his anger at this situation, not hesitating to accuse Dexter_cap of rug pull :

This is why you support a serial killer [de projets cryptos, NDLR] by buying and selling your tokens on WhalesMarket.

Several members of the crypto community were quick to speak out. One of them even created an account called “HungDinhScammer”relaying all the information suggesting Hung Dinh's misdeeds.

There are many publications who mock the latter, highlighting his luxurious lifestyle and confronting him with his contradictions.

“We never intended to rug pull anyone”

Tell me why you launched with 2 Millions instead of 30.

Tell me why you booted your commitment so hard.

Tell me why didn't you communicate anything before this account exposed you so hard.

I'm waiting. pic.twitter.com/MDiebDxeMl

— GM AI FRAUD (@HungDinhScammer) September 15, 2024

This user even went further by posting an address associated with a public wallet. He then ordered Whales Market to force its founder “ to repay the missing money from the liquidity pool, namely $28 million » by this Monday by making a transfer directly to the wallet in question.

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Accused of being behind several scams, Hung Dinh responds to his detractors

Faced with the flood of accusations, Dexter_cap posted a long message on X this Monday, in which he searched to respond to all the people accusing him of rug pull.

Statement.https://t.co/z6lW9ZHtKq has been a series of mismanagement, wrong (& unfortunate) timings, and above all poor communication from the team. Today we're taking responsibility and promising a path forward to make investors whole.

For the record, we have previously…

— dexter | gmAI arc (@dexter_cap) September 15, 2024

Hung Dinh introduced his message by acknowledging some of his wrongs as well as the failure of his project :

GM.AI has been a series of mismanagement, unfortunate and bad timing and above all poor communications from the whole team. Today we take responsibility, and we promise to find a solution to compensate investors.

However, Dexter_cap later explains that he is in no way the origin of a rug pull, nor of any scamHe clarified that he did not spend the money from the fundraising for personal purposes, but that he had still used part of it for the development of the project.

The remaining amount should be moved to a public wallet. when we launch our compensation program ” says Hung Dinh. To conclude, The founder of Whales Market announced that he would provide more information on the subject this Friday.. To be continued.

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Source: CoinGecko

Surprised by the rise of crypto-assets in the late 2010s, I started to closely follow this sector that fascinates me to the highest degree. When I am not in football stadiums, rugby or handball halls, I work on writing relevant articles about cryptocurrencies and more broadly, Web3.

Zacharie Tazrout

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