Korea's Bezant ICO with former CEO & co-founder of bithumb Koreas biggest crypto exchange

@FloridaWater your experiment was a great example of how these things can be manipulated without to much effort. Hope you doing well man, not been arount the pub for a while now but still got a bag of Bznt so thought I would cheek back and see if there is any new news.

The main thing coming out of the telegam channel is a number of big things happening in Q4 which include this is lifted from the
TG Group “There aren’t many crypto projects out there with any use cases so Bezant will differentiate themselves from the rest of the market! I still think Bezant, Transwiz, Happy Money, and Korea Prepaid Card will be a significant player in the payment, lending and prepaid card space and it all run on top of Bezantuim! Bezantuim is still the best platform I’ve seen on the market with its ease of use Dev tools, simplifying the integration process, transparency, privacy enhancements, and working within regulations.”

Take care my friend, I am just off to try a cup of Treasure Coast cubi tea, which I hope will take me stright to the moon. :sunglasses::+1::mushroom:

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Good to hear from you, @CryptoPunkUK :slight_smile: Thanks for understnading. I’m doing well, and I hope the same for you. That is cool you still have some Bznt. I think I still have a few hundred in a wallet but I just remembered I wiped the wallet and burned the seed ><

Hey, seems like good news for Q4 then! Differentiation is good. PAMP IT! :smiley:

Yes sir, take care. Enjoy, and keep your head :laughing:

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Here’s the latest update from the Bezant team…thought there might be a few people here who are still interested in how this one is going.

Take it easy…

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Summary?
Bezant has looked incredibly tragic.

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Q4 2019 progress report -> https://medium.com/bezant/official-bezant-progress-report-q4-2019-4a0e5aabaf4e

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Sounds like they are setting expectations low from the start of this report. The honesty is actually refreshing

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Hey guys… It’s gonna be a long post with a lot of links.

This was posted on the Official Bezant Announcement Channel on Telegram.

When I was pointing out the inconsistencies of the team’s claim right after the hack on the main Bezant Telegram chat, I was banned.

Out of curiosity I asked admin what was the reason of the ban.

Here is the transcript of the first convo with Adam the Admin:

After that, I’ve started digging into the Etherium blockchain to concrete that I’m not imagining things…

Here is what I’ve dug up:

Here is their swap wallet: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x96dcbc8481b7f7b1871d3b6bef62417aad40d48d

They set it up on Jan-29-2020 04:38:32 PM +UTC and beef it up with funds:

Here is the initial TX going to that wallet: https://etherscan.io/tx/0xb4cd7c69819e777e413f2747b372049e30b122a93f12050b92356d85e43eef64

They likely test their services on Jan-29-2020 04:41:27 PM +UTC as there are two outgoing TXs involving BZNT: https://etherscan.io/tx/0xa73fdf275dafca3d4fb0b4e8eab8d4362fbc767c96af5c617b40ee816b068932 and https://etherscan.io/tx/0xd355c5b215be812052b37cc27724a6819248be5c6ec0f0d7d832098713e24894

On Jan-30-2020 01:35:43 AM +UTC this TX happen: https://etherscan.io/tx/0x683dfea24b2cdb3b26c3822aac22d2f78d8d96ead1367c8341671a00efb39d36 (which goes to Bithumb’s user wallet and then Bithumb 6)

N.B.:
This is strange. Because two other testing TXs were directed to the regular wallets and not Bithumb’s.

Plus this wallet has a very strange activity to it: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x1296b263f130612b910e84a393f845e9157815b7 and https://etherscan.io/address/0x1296b263f130612b910e84a393f845e9157815b7

Previous BZNT transfer was on Oct-08-2019 02:07:23 PM +UTC (more than 120 days ago)

And that’s it! NO OUTGOING TXs until the token swap occurs and service opens!

So from Jan-30 to Feb-02 the wallet was NOT tested. But the incoming TXs are still there beefing up the wallet.

N.B.:
This is not good. They were testing the wallet 3 times only (one is likely malicious). Given the circumstances and the possibility of the team not being very big, there is no security expert to check the code for malicious activity and/or injected services.

Then on Feb-02-2020 04:10:11 PM +UTC, the day before the main event this TX occurs: https://etherscan.io/tx/0x829a264ebeddb00ee92f2255be369c9d0bd494831761e6afcf6553e124681a28

It goes to the regular wallet (likely the final testing TX before the swap opens up).

Now watch the hands:

As soon as the swap service opens we see 3 TXs going to Bithumb’s User wallet: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x120f8edf3d6c360e725691e2d992ca871f62d331

All of them are here:

  1. Feb-03-2020 10:08:01 AM +UTC - https://etherscan.io/tx/0xe0446f142758630328d88579c751e550bee3d1909169889e4ddc8ff080e22f39

  2. Feb-03-2020 10:19:15 AM +UTC - https://etherscan.io/tx/0x35ed1f813ec3ba82a2e1961bb6c0414d0cd2f135d673e097d1fa2c28686a9d4b

  3. Feb-03-2020 10:34:59 AM +UTC - https://etherscan.io/tx/0x42a7b42137caccb03d6dda9076089cca695f5b05cd80d4153aae670603ab1744

They are all within the limit of 100,000 Bezant tokens per submission

Then this TX interrupts our 0x120f…331 wallet: https://etherscan.io/tx/0xc25b6f95aedf9530440334b49241f34d048c48051756730fa445914ed898a538

Funds go to this wallet (likely the exchange, given the pattern of TXs): https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0xadd60c0888194986c2dad79a0ca178299002b573

Then 0x120f…331 is at it again, making 3 TXs:

  1. Feb-03-2020 10:50:28 AM +UTC - https://etherscan.io/tx/0x0658e68e0377cbc9cf0fe3d3f7ad8b6c11907adeeb2d59bbd12eccc6ff2527a6

  2. Feb-03-2020 10:58:48 AM +UTC - https://etherscan.io/tx/0xc8bd238c3f390dad8fbc255ab217a186425b2dd5d32c3c926250a88ad60eaa23

  3. Feb-03-2020 11:08:29 AM +UTC - https://etherscan.io/tx/0x6c085ffdb081131ee378274a2cda7f3e177f9d5943773c6311f9eb1f18e8e694

Then this TX: https://etherscan.io/tx/0xa475bccead3b6daa462ee995a8ee10082ae3406e8b9ddc0438cf8e57bb560266

It goes to another Bithumb’s wallet: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x05c1c8ba251930c373729b31d9d0b29d76cb1c0b

Then this TX: https://etherscan.io/tx/0x8f1afc08a6e84730936905fbbffdf48413cee731b265197b653301162a2626a3

It goes to this wallet (once again, likely the exchange): https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0xadd60c0888194986c2dad79a0ca178299002b573

Now look at the next 2 TXs from 0x33a…e77: https://etherscan.io/tx/0x87493da1adfd504b8b1b8cd39ebe5a620ce9fff10b3a392b4cdd676e93e9a6b4 and https://etherscan.io/tx/0x54c664168937df66d4f454eb8d6907423e89ae4e93e441ef90fbf4c6c95a3dea

The wallet was another Bithumb’s user: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x33a12b4945eba2bb59f61953cb4c00c9325e7e77

Then after this TX occur, the “hack” happens.

TX of the hack: https://etherscan.io/tx/0xc362fb3c1974ccabbbf65dd7aaf31867d8d96d684a14047316ef3bbbb5b29ab0

Timestamp: Feb-03-2020 03:20:32 PM +UTC

According to very limited official info, “35,488,558 BZNT of the customers’ assets in the Wallet were transferred to a specific address” and “Bezant dev team locked the address the tokens were transferred to in order to prevent further movement”.

Inconsistency No.1:
You can’t lock the specific address on ETH blockchain. It’s permissionless and censorship-resistant, so once the transfer is there, you can’t do anything to stop it. You can’t just lock the specific address because of the hack. Unless you (or the person/system) holding the private key does not sign the outgoing TXs.

After the “hack” there are still money in the wallet which is indicated by another 4 TXs:

  1. Feb-03-2020 03:21:01 PM +UTC - https://etherscan.io/tx/0x98006ed53b61aa80ca9fa3397ee1fb5db14f73f4d1a53c8a2755fda52dcc3390

  2. Feb-03-2020 03:24:19 PM +UTC - https://etherscan.io/tx/0x689ce365f553717234bc48db1e675cc46bea0164de9487a2cd4d0b8cdc00937a

  3. Feb-03-2020 03:27:35 PM +UTC - https://etherscan.io/tx/0x27a92775451af08b082ef69ce69d079b8243f78473712fb8a558fd5fded9a37b

  4. Feb-03-2020 04:58:10 PM +UTC - https://etherscan.io/tx/0x9b62ddf314352d3c904b590aea1e4c6fd3e665715b57642e182e4c01c055f43d

Inconsistency No.2:
Every hack on the blockchain involves the private key. Once the attacker has the key, he usually sweeps the wallet containing victim’s funds (sweeping means transferring ALL of the remaining funds on the victim’s wallet to the wallet under the control of the attacker to which the latter has its own private key). The victim’s wallet becomes empty until the incoming TX comes. Then the attacker can sweep the victim’s wallet again.

The last TX looks weird.

It transfers the remaining funds to another wallet: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x7a7bc01a2c0784139e3af1b329b7adcf95a74425 (likely the second “unhacked” swap wallet)

Then they test this wallet by making two TXs:

  1. Feb-03-2020 06:00:13 PM +UTC - https://etherscan.io/tx/0xea19554c8ff5c450524b41d74321cc760ea0989dd9a16ad7d9a77b502d42aa9b

  2. Feb-03-2020 05:30:09 PM +UTC - https://etherscan.io/tx/0x7dc7e38c34eddc29126a5478b486de86ca21cdfd1ff25efe00f309cbb2d7fdba

The wallet to which the funds are credited is the same testing wallet who made the first two test TXs: https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x67eed7125ca2b9d1859c4d824a675bd1fa45256d

Then 0x33a…e77 makes the last 4 TXs before the halt of the swap service:

  1. Feb-04-2020 03:32:03 AM +UTC - https://etherscan.io/tx/0xa4d92e792a0fcebcf2e1061a0476806ccfc727cc57b8c60c2e5a4ddf542f4cdb

  2. Feb-04-2020 03:37:22 AM +UTC - https://etherscan.io/tx/0x5104cda7b53ebfd09851c70d0e7955f40f52861d741877974bc29a015f760239

  3. Feb-04-2020 03:47:19 AM +UTC - https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62?a=0x7a7bc01a2c0784139e3af1b329b7adcf95a74425

  4. Feb-04-2020 03:56:41 AM +UTC - https://etherscan.io/tx/0x98aca1b33d8b34ad73df9e05eee4944d0c1eda1b9e96497f6ecbc2bac7fddc4a

Inconsistency No.3:
The hack occurred on Feb-03-2020 03:20:32 PM +UTC. They’ve “locked the funds” and set up the second swap wallet to let the 0x33a…e77 finish their transfers and then halt the service. AND ONLY 0x33a…e77


All these inconsistencies made me doubt the nature of the hack. I’ve made another Telegram Account and presented all this evidence openly and publicly waiting for answers.

The admin replied that he would consult the team and summarised my complaints in the wrong way.

I’ve made a little TL;DR:

TL;DR for the easy analysis:

According to the official claims we have this:

  • Hacking attack occurred on the ERC-20 wallet being used by the Bezant team to operate the swap service
  • 35,488,558 BZNT of the customers’ assets in the Wallet were transferred to a specific address
  • Hacking Attack Time: 2020-02-03 15:20:32 (UTC)
  • Actions taken: Bezant dev team locked the address the tokens were transferred to in order to prevent further movement

I’ve presented the view from the blockchain standpoint which contrandicts some of these claims:

  1. There is no evidence on the blockchain that this was a hack. The private key was NOT compromised as there is no sweep transaction and the wallet is still functional even after the “hacking” transaction occured.
  2. The claim that the hacker has trasferred 35,488,558 BZNT to the specific wallet is false. The team transferred this amount as indicated by the timestamp of the “hacking” TX being the same as the “locking” TX.
  3. The team’s claim of the locking the hacker out is also false. You can’t lock somebody else’s ETH wallet.

After this TL;DR I was banned again with all my messages being deleted from the chat.

Here is the transcript of convo with Iris (another admin of the Bezant team):

So it’s very clear that the admins are instructed to ban those who openly doubt the nature of the hack….

I’d like to point out that I’ve presented enough evidence on this case that contradics the team’s statement. The nature of the hack is still very inconsistent. The admins are instructed to ban people who point it out with facts instead of presenting counterargumens. The team never shows up to clarify anything.

Just getting my word out there and wanted to share my experience.

And thoughts…

What do you guys think about all this?

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The Truth can sometimes get you into lots of trouble, especially when it show that others are not speaking the truth, sorry to hear you got banned for speaking the truth, I am on the same TG group but only dip in and out, I will ask about you and see if they boot me to.

It happens a lot on the TG groups, I got banned from one on the 5th Feb guess what for, yes speaking the truth and the CEO couldnt take the fact & he removed me personally from the TG group.

Any how take care and keep up the good work, you crypto detective you … :+1: :sunglasses:

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Good for you for doing this research. I didn’t click through any of the links but I read through your explanation. The token swap seemed fishy to me from the beginning, so I didn’t participate. It seemed unnecessary. The TG channel is probably weary of FUD, but now its more suspicious that they didn’t offer a rebuttal to qualm any doubts in the community, and they booted you. You’re doing the right thing by verifying authenticity or the lack thereof.

There have been some good opportunities for trading Bezant since the ICO but I don’t hold any anymore. Once reputation is tarnished, it’s hard to recover. However, I do appreciate the experience of trying more exchanges, learning more trade skills, and also witnessing these sorts of shenanigans to become more aware.

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The 2-way swap service is once again open after it was shut down for additional security measures

Update from bezant:
Bezant completed the security measures for the token swap service.

We enhanced security across the service especially :

  • Managing the wallet used for the Swap service operation seperataly
  • Change the way of approaching the server
  • Implemented a Monitoring System

Link to swap -> https://bnbswap.bezant.io/

@bitvadol I just asked for you in the TG and was told you were banned for spreading FUD with a capital F…keep on spreading that truth my man… :sunglasses: :+1:

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I was banned two times even…

Anyhow… Here is the portion of new info.

Me and @BulletEyeDK have conducted the extensive research on the issue of burning and locking tokens.

Looking at the smart contract of Bezant’s transfer contract (https://etherscan.io/address/0xe1aee98495365fc179699c1bb3e761fa716bee62#code), there is very specific functions like “freezeAccountForOwner”, “burn”, “burnFrom” and “transferFrom” as well as regular “transfer”.

Those functions imply that the owner of the smart contract (Bezant Foundation) can freeze any address they wish from transferring BZNT token, burn their tokens from any address they wish , and most importantly transfer tokens from any wallet to any wallet (without the need of the private keys of the transferring wallet).

Given their permissioned token model it’s ok, but this is not ok from this hack standpoint.

As I was able to burn some tokens from my address (https://etherscan.io/tx/0xf5b03c50002dc410284cc54e42751a62c40eff85f227982b726ba4cc41e6be46) the total supply went down by noticeable amount:
https://etherscan.io/token/0xe1aee98495365fc179699c1bb3e761fa716bee62
(FYI, it was exactly at 1 billion before)

I ended up concluding that:

  1. That transaction of 35+ mil BZNT was indeed a transfer (not “lock” and not “burn”).
  2. Token burn is possible (and easy).
  3. That story about the use of smart contract to lock the tokens is total BS, as you can’t lock anyone without their priv key, nor burn or transfer their tokens to other address (we knew that already, but still worth a try).

NB: That third point is true for anyone, but the token creators. They still can transfer, burn and freeze anyone without the need of the private keys.

Today, upon resurrection of the swap service, I was able to swap my remaining stack (I’ve sold like 90% after I got suspicious) while keeping a close eye on the blockchain and casually browsing the explorer I found this failed TX incoming from the main Bezant wallet (the wallet that created the token and then deployed that transfer contract) and going to the “hacked” wallet: https://etherscan.io/tx/0xb1d287cdd35a325f46253e579f510722cf5c81a3857d1498926920ffd382a050

It was obvious I had to go deeper. And that was when I realised that they can indeed freeze the BZNT ERC-20 transfers for the specific address.
Take a look at the data on this TX: https://etherscan.io/tx/0xd107f3357a2ad85a60b99873f100516e39b8d6b2f0bd9c68b870ff69c0b90ae8

So the picture for the hack looks a little clearer.

But it’s still suspitios, nonetheless, as the “hack” has taken place on Feb-03-2020 03:20:32 PM +UTC: https://etherscan.io/tx/0xc362fb3c1974ccabbbf65dd7aaf31867d8d96d684a14047316ef3bbbb5b29ab0

Then there were two “freeze” TXs:

First was on Feb-03-2020 03:51:17 PM +UTC: https://etherscan.io/tx/0xd107f3357a2ad85a60b99873f100516e39b8d6b2f0bd9c68b870ff69c0b90ae8

Second was on Feb-03-2020 03:53:12 PM +UTC: https://etherscan.io/tx/0x0a01124c858c62ea50fc24246776f049e3b6316d68ee4eb39c0edd512cd676e0

That means the “hacker” had at least A HALF AN HOUR to move/spread the funds. A lot of time to at least move the funds to another wallet. But it just did not happen.

Additionally, the team have the ability to unfreeze that wallet anytime. And the “burnFrom” and “transferFrom” functions are still there and were not in use.

This concludes my investigations. As we don’t know for sure what really happened there.

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Great work Bitvadol thanks for the update. :+1: :sunglasses:

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I have 30k of these somewhere (hopefully MEW) - I have written this money off - its about $200 worth now according to my delta app. Is this coin dead?

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Hi guys,could you please suggest to me what to do with my bezant tokens? I dont have much at all,roughly around 10k tokens sitting on Bibox. Bought them ages ago, and as far i understand bibox delisted BZNT/BTC trading pair…So,not sure what to do with them at the moment?Thanks for your help

Did Bezant just die? Was $0.02 a few hours ago, now $0.005

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To answer my own question it probably died a long time ago

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It was never a necessary or interesting product. People on the pub simply got duped by the personnel behind bznt. If only all businesses succeeded based on the caliber of people behind a project.

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