Robinhood Chain is facing scrutiny after on-chain analyst Wazz linked 53 token launches to an alleged coordinated rug-pull operation. The research, made public on September 27, claims that the team managed to drain at least $18.43 million within two months. At the same time, The Block investigated the same case independently and found sniping mechanics in 10 launches out of 10 reviewed.
Wazz’s investigation began with suspicious activity around DEED before expanding into a broader wallet and funding trail. The analyst stated that 53 tokens in total were launched between July 10 and September 21. The findings suggest the alleged operation repeatedly reused wallets, funding routes, and launch tactics rather than treating each token as an isolated project.
According to Wazz, 45 out of 53 launches were directly connected with fund flow, with profits from one project being invested in another. Another 4 launches were sharing the private key for batch funding, and 4 launches were using the same collector wallet, which became the core of the identification of a coordinated team.
Most of the launches were allegedly sniped with the help of teams of 70 to 200 wallets. It was mentioned that such wallets received more than 70% of a supply of the token immediately after the launch.
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Robinhood Chain Launch Mechanics Came Under Scrutiny
Many tokens identified by Wazz were launched through Pons V2, a token launchpad operating on Robinhood Chain. The Block examined ten listed launches and noted that the creators had exempted certain wallets from the anti-sniping tax of Pons V2. The wallets would subsequently acquire most of the circulating supply right after the launch.
According to The Block, in nine out of the ten examined launches, the creator and wallets had adopted a buy-opening approach and had acquired between 82% and 86% of supply. The Block verified the mechanics but could not confirm the total amount of extraction claimed by Wazz.
Moreover, there is the issue of an unverified contract used for the opening buy. According to The Block, all nine launches had used the same contract for the initial bundle purchases, which was created on August 28. Wazz claims that the contract belongs to the bundling tool, which has its unrelated users, whereas The Block could not identify the owner.
Fund Flows Connected Repeated Token Launches
Also, the funding chain became a source of additional information. In The Block investigation, 179.88 ETH that were transferred from addresses linked to one of the launches – DRAFT – was followed up to the wallet funding DEED, 40 minutes before DEED was launched. Wazz applied similar techniques to connect dozens of launches and discovered a pattern of financial cycles.
Also, the alleged scheme made use of false pre-launch contracts in some projects, as mentioned by Wazz. Such deployments could be used to lure buyers in advance of making the actual contract address public. Wazz stated that such list contained several tokens that had the same names as others within a short span.
CRUMBS, LEGS and PINK Led Reported Extractions
Among the many cash-outs that were found to be large in nature, CRUMBS turned out to be the highest in value, amounting to around $3.12 million, while LEGS came second in terms of cash-out size and amounted to $2.9 million, and PINK followed close behind with its cash-out being approximately $1.44 million. As mentioned above, Wazz claimed that DEED, the coin that prompted the investigation in question, does not even fall within the top 10 cash-outs of this venture.
This particular situation is important due to the fact that the platform Robinhood Chain, which was under investigation, went live on July 1 as an Ethereum Layer 2 powered by Arbitrum technology.
Robinhood Chain Has a Broader On-Chain Ecosystem
The reported rug-pull activity represents only one part of Robinhood Chain’s development. A Morgan Stanley research note cited by TheStreet said the network had surpassed $1.5 billion in total value locked, while Robinhood Earn balances were approaching $450 million. These figures show the chain extends beyond token launches.
Morgan Stanley also highlighted Robinhood’s Stock Tokens, which track U.S. equities through tokenized debt securities. TheStreet reported that the product had more than $150 million in assets, about 200,000 holders and roughly $400 million in daily decentralized exchange volume. This broader activity provides context for assessing the chain beyond the alleged operation.
The next focus is whether further on-chain analysis identifies additional linked launches or wallet clusters. The Block has independently verified parts of Wazz’s findings, while noting it did not reproduce the $18.43 million total.
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