DeChat refunded users who sent funds to a honeypot address on Pancakeswap, thanks to ZachXBT's alert.

Following concerns raised by ZachXBT on X, DeChat users who purchased the project’s token on Pancakeswap found themselves directed to a malicious address. The team took prompt action to address the issue, resolving it effectively. The official X account of the SocialFi protocol confirmed that users who had sent funds to a honeypot address linked to the native token would be reimbursed.

ZachXBT, an on-chain sleuth, brought attention to the problem related to the Pancakeswap contact address provided by DeChat. A crypto honeypot is a deceptive address or protocol designed to entice unsuspecting victims into relinquishing their assets. Scammers often utilize this scheme for fraudulent activities such as phishing campaigns and rug pulls.

DeChat committed to refunding users affected by the issue that interacted with the Pancakeswap address during the specific timeframe of 10 AM to 11 AM UTC. As of the latest update, all reimbursements for the token, which had its launch on Feb. 26, have been successfully completed. DeChat expressed gratitude towards ZachXBT for the swift intervention in resolving the matter.

Developers of DeChat describe the platform as an open web3 communications venue designed to facilitate on-chain user interactions on both Ethereum and Binance Smart Chain. The protocol boasts features such as a chat-to-earn functionality for rewarding participants and a staking program offering yield for long-term supporters.

The platform also supports BRC20 inscriptions, a standard introduced in the first half of 2023 for Bitcoin's blockchain to bring decentralized finance (defi) to the largest crypto network. Since then, BRC20 tokens have evolved into a billion-dollar market, with inscriptions spreading across various altcoin blockchains like Avalanche and Solana.

Notably, a recent surge in inscriptions caused a temporary halt to Avalanche's primary network, known as C-chain, lasting over four hours until developers successfully addressed the issue.