Binance’s BNB Chain recently announced an update to its list of high-risk decentralized applications (dApps) on the DappBay platform, which now includes a total of 191 projects deemed as high-risk. These projects were found to be engaging in fraudulent practices such as phishing and scamming, putting users’ funds and personal information at risk.
BNB, which stands for “Build and Build” (formerly called Binance Coin), is the blockchain gas token that fuels transactions on BNB Chain.
Some of the notable projects on this revised list include Pinaki, Elvantis, Leech Protocol, Streamflow, OnlyBrain, and the XOP Project. BNB Chain identified these projects as high-risk due to a variety of reasons, such as the issuance of bogus tokens, high or opaque taxes, and malfunctioning websites or Twitter handles.
BNB Chain’s active alert doesn’t reflect the actual danger posed by the underlying DApp project. Instead, it’s intended to assist consumers in conducting research before making investment decisions. This highlights the need for caution when investing in any of the dApps listed as high-risk.
DApps are decentralized applications that run on a blockchain network, and they are often used for various purposes such as decentralized finance (DeFi), gaming, and social media. However, not all DApps are created equal, and some may be scams or pose risks to users.
Users are advised to exercise caution when interacting with any DApps or tokens listed on the Binance Chain Issues List, as they may be fraudulent or engage in risky activities. It’s always important to thoroughly research any DApps or tokens before using them and to only interact with those that are reputable and have a strong track record of security and reliability.
BNB Chain’s latest update emphasizes the significance of conducting thorough research before investing in any project, especially in the decentralized application (dApp) market.
As the cryptocurrency market is projected to expand and diversify in the coming years, consumers need to remain vigilant and informed to make informed investment choices.
In July 2022, BNB Chain launched DappBay platform. The blockchain features an easy-to-use contract risk scanning tool called ‘Red Alarm‘, which identifies potential high risk projects to help users protect their investments from potential rug pulls and scams.
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