Trader’s 7-Figure Loss: 0L Network Hard Fork Impact

An unfortunate trader, known only as NN, has allegedly lost over a million dollars worth of cryptocurrency due to the 0L Network hard fork. The hard fork, which was not approved by the community, resulted in the loss of 4% of the total supply of Libra (LIBRA) tokens and also affected innocent holders’ wallets. NN had purchased 147 million LIBRA tokens in February 2023, valued at approximately $1.47 million at the time. The value of the Libra token has plummeted by more than 58% since May 3, with the current trading price being slightly above $0.001 according to CoinGecko data.

According to NN, the 0L Network team was aware of a bug for over two years and some insiders were taking advantage of it. The team chose to ignore the issue as the Libra token had little value. NN expressed frustration, stating that the team only decided to take action once the tokens gained significant value, leaving innocent buyers to suffer the consequences.

The reason behind the hard fork was a smart contract bug that allowed insiders to unlock vested tokens at a faster rate. Instead of fixing the bug, the team decided to fork out all the wallets they believed to have exploited the loophole. NN alleges that the team knew innocent wallets would be affected, but tracing back all the tokens was impossible. The blacklist of wallets was generated internally, and even NN, as a marketing team member, was unable to see the fork list.

NN’s wallet was forked out despite buying tokens from multiple validators, all due to a single validator that was considered rogue by the team. Other victims of the hard fork have also been treated unfairly and were kicked out of the Discord group. There are suspicions that 0D, the pseudonymous lead developer of 0L Network, could be Lucas Geiger, who has been previously charged by the United States Securities and Exchange Commission (SEC) with fraudulent behavior. Geiger is also the co-founder of Wireline, which raised $20 million in 2018 but failed to deliver on its promises.

In January 2021, the SEC fined Wireline $650,000 for an unregistered securities offering and alleged fraud involving its subsidiary, Wireline Developer Fund. These alleged connections and past actions raise concerns about the credibility and integrity of the 0L Network team. NN’s unfortunate loss highlights the risks involved in the cryptocurrency market, where lack of regulation and oversight can lead to significant financial losses for unsuspecting investors.

36 thoughts on “Trader’s 7-Figure Loss: 0L Network Hard Fork Impact

  1. It’s suspicious that the team only decided to fix the bug once the tokens gained value. Clearly, they were more interested in their own profit than the well-being of their investors. 😒

  2. It’s horrible to think that some insiders took advantage of the bug for personal gain while innocent buyers suffered the consequences.

  3. With suspicions that the lead developer of 0L Network could be Lucas Geiger, who has been previously charged with fraudulent behavior, it’s hard to believe that this team has any credibility or integrity. Investors deserve better.

  4. This story serves as a reminder to always double-check security measures and to be cautious when dealing with digital assets. 🔒💰

  5. We need to address these issues and strive for a more equitable and secure crypto ecosystem. Let’s not let innocent investors bear the brunt of such incidents.

  6. Losing trust in the market due to incidents like this can have long-lasting effects on the adoption of cryptocurrencies. 😔📉

  7. NN’s story serves as a warning that even seemingly stable investments can turn into nightmares if proper precautions are not taken.

  8. This is just another example of why the cryptocurrency market is so risky. People like NN end up losing everything due to the lack of proper regulation. It’s a shame!

  9. NN bought tokens from multiple validators, and yet just because of one rogue validator, their entire wallet was forked out? That’s incredibly unfair and shows a lack of accountability on the team’s part.

  10. Cryptocurrency investments can be volatile, but incidents like this only add unnecessary risks. Stay safe, everyone.

  11. It’s absurd that the 0L Network team didn’t prioritize fixing the bug that allowed insiders to exploit the system. They knowingly let innocent buyers suffer the consequences just because the token had little value at the time. Unacceptable!

  12. Let’s rally together as a community to support and find justice for all those affected by this unfortunate incident.

  13. Kicking out victims of the hard fork from the Discord group only adds salt to the wound. Let’s show some compassion and support instead.

  14. It’s disappointing to see how lack of regulations can sometimes lead to unfair situations where innocent investors suffer.

  15. The team’s decision to fork the wallets without any regard for innocent buyers is outrageous! They should have taken responsibility for their mistake instead of leaving NN and others to suffer.

  16. NN’s story highlights the need for stronger regulations to protect investors from situations like this.

  17. It’s infuriating to hear that the 0L Network team ignored the bug until the tokens gained value. Innocent buyers should never suffer like this. 😡

  18. The alleged connection between 0D and Lucas Geiger raises serious doubts about the intentions of the team.

  19. NN’s story reminds us that we need trustworthy developers and teams in the crypto industry.

  20. We need more transparency and accountability in the crypto space to prevent incidents like this from happening again.

  21. The crypto market must learn from these incidents and work towards creating a safer environment for all participants.

  22. It’s disheartening to see innocent holders suffer due to the actions of a few bad actors.

  23. The lack of regulation in the cryptocurrency space can be a double-edged sword. It offers freedom, but it also exposes investors to risks like this.

  24. NN’s loss is a painful reminder of the importance of due diligence and research before investing in cryptocurrencies. 📚💼

  25. This is a cautionary tale for everyone in the crypto market. Stay vigilant and be aware of potential risks.

  26. This incident underscores the importance of transparency and accountability within the crypto industry.

  27. Internal blacklist generation without proper transparency raises concerns about the integrity of the 0L Network team. NN deserved better.

  28. The devastating loss suffered by NN is a painful reminder that we should always be cautious when investing in volatile markets.

  29. I can’t believe the 0L Network team would fork out innocent wallets without any proper investigation. It’s clear they were more interested in punishing perceived exploiters than in being fair to their entire investor base. Disgusting!

  30. Education and awareness about scams and fraudulent behavior are crucial to protect unsuspecting investors from such devastating losses. Be informed!

  31. The loss of 4% of the total supply of LIBRA tokens is a significant blow to both the project and its investors.

  32. The hard fork affected innocent holders’ wallets too? That’s just not fair at all. 😞

  33. It’s alarming that the 0L Network team kicked out victims of the hard fork from their Discord group. This just shows their lack of empathy and disregard for the people who trusted them. Shameful!

  34. The value of the Libra token has plummeted by more than 58% since May 3? That’s a massive loss! How can anyone trust this cryptocurrency when its value can drop so dramatically?

  35. This unfortunate loss suffered by NN highlights the risks involved in the cryptocurrency market. It’s a stark reminder that without proper regulation and oversight, innocent investors can face significant financial losses.

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