Solareum, a Telegram trading bot operating on the Solana blockchain, has announced its permanent closure due to a combination of financial constraints and a recent security breach.
In a statement shared on the Solareum support channel on Telegram, developers expressed regret over the decision, citing insufficient funding, evolving market trends, and a recent security breach as primary factors.
Despite efforts to secure additional funding and enhance security measures, the team acknowledged their inability to ensure user safety due to financial limitations.
Solareum functioned as a Telegram-based crypto trading bot with a bridge between Ethereum Virtual Machine and Solana Virtual Machine, facilitating the buying and selling of Solana tokens based on predefined parameters.
The security breach resulted in the exploitation of the trading bot, leading to the loss of over 2,800 Solana tokens, valued at approximately $520,000, from more than 300 users.
Initially, suspicions arose that the Telegram trading bot BONKbot was responsible for the exploit. However, the BONKbot team denied involvement, attributing the breach to another Solana application.
Despite denying any involvement in an exit scam, the Solareum team acknowledged the draining of users’ wallets, attributing it to a widespread exploit affecting multiple bot projects and decentralized applications (dApps).
Efforts are underway to contact authorities and freeze stolen funds if they are deposited into centralized exchanges. As the shutdown process commences, users are urged to retrieve any relevant data or assets promptly.
Solana, known for its active meme coin speculation, has attracted scammers, leading to increased security concerns. Blockchain security firm Chainalysis reports significant activity in communities devoted to wallet drainer kits on Solana.
Additionally, Blowfish, a Web3 security firm, identified two new Solana drainers capable of advanced attacks in February, underscoring the ongoing challenges in the Solana ecosystem.
