{"investigation":{"slug":"blur-finance","entity_name":"Blur Finance","trust_score":2,"severity_base":null,"score_modifier":0,"confidence":0.87,"status":"published","content_type":"investigation","summary":"Blur Finance (ticker: BLR) was a yield aggregator DeFi protocol that operated on BNB Chain and Polygon in mid-2022. In August 2022, developers allegedly executed a textbook rug pull, withdrawing approximately $600,000 from user-deposited funds before deleting all social media channels and abandoning the project. The BLR token collapsed 99%, and the protocol's smart contracts on both chains have since been formally flagged on BscScan and PolygonScan as rug pull addresses.","sections":[{"content":"Blur Finance was a yield aggregator protocol that launched on Binance Smart Chain (BNB Chain) in mid-2022, with a subsequent expansion to the Polygon network. The protocol described itself as a platform that would leverage multiple DeFi strategies and liquidity pools to maximize returns for depositors, with auto-compounding of rewards from PancakeSwap farms. The native token, BLR, had a total supply of 100,000,000 with an allocation structure of 10% initial liquidity, 60% staking rewards, 12% seed round, 8% community reserve, and 10% for development and team. The project listed four pseudonymous team members — Harry Lenerdo (CEO), Shadow Bat (Front-End Developer), Jason (Back-End Developer), and Tim Bard (CMO) — none of whom were independently verified. The protocol underwent a smart contract security audit by Dedaub in June 2022 for its v1.0 release, which identified two high-severity issues that were reported as resolved prior to launch. A website at blur.finance and social media presence on Twitter (@Blur_Finance), Telegram, and Discord were used to promote the project.","heading":"Protocol Overview","sources":[{"url":"https://icoholder.com/en/blur-finance-1028674","name":"ICOholder — Blur Finance (BLR) listing with team details","type":"other","credibility":3},{"url":"https://dedaub.com/audits/blur/blur-finance-v1-0-jun-10-2022/","name":"Dedaub — Blur Finance v1.0 Smart Contract Security Audit Report (June 10, 2022)","type":"research","credibility":2},{"url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","name":"CoinDesk — Over $600K Vanishes From DeFi Project Blur Finance as Developers Disappear","type":"news_article","credibility":1}],"severity":"high"},{"content":"On or around August 9–10, 2022, the developers behind Blur Finance allegedly executed a rug pull, withdrawing over $600,000 in user funds from smart contracts deployed on both BNB Chain and Polygon. Blockchain security firm PeckShield publicly flagged the incident on August 10, 2022, characterizing it as a textbook rug pull. The stolen funds were reportedly withdrawn from the protocol contracts within minutes. Immediately following the withdrawal, the project's Twitter account (@Blur_Finance) was deleted, the Discord server became inaccessible displaying an 'invite invalid' message, and the project website (blur.finance) ceased functioning, returning an invalid SSL certificate error. The BLR token — which had reached an all-time high of approximately $0.06 to $0.07 on August 4, 2022 — collapsed 99% to approximately $0.00064 in the wake of the incident. At the time of the rug pull, the protocol had approximately 754–756 token holders on BNB Chain. The smart contract addresses associated with the incident on BscScan (0x4165084A6e5388ce53c9D9892f904a2712Dd943A) and PolygonScan (0xd8a5885e456c265e9938fecc3dde7357c58b630c) have both been formally labeled with rug pull warnings by those block explorers.","heading":"Alleged Rug Pull — August 2022","sources":[{"url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","name":"CoinDesk — Over $600K Vanishes From DeFi Project Blur Finance as Developers Disappear","type":"news_article","credibility":1},{"url":"https://cryptoslate.com/blur-finance-allegedly-rug-pulled-investors-at-a-combined-600k-loss/","name":"CryptoSlate — Blur Finance allegedly rug pulled, investors at a combined $600K loss","type":"news_article","credibility":2},{"url":"https://www.ibtimes.com/defi-project-blur-finance-rug-pulled-600000-blr-token-crashes-99-3600623","name":"IBTimes — DeFi Project Blur Finance Rug-Pulled For $600,000; BLR Token Crashes 99%","type":"news_article","credibility":2},{"url":"https://www.cryptotimes.io/2022/08/10/defi-project-blur-finance-vanishes-with-more-than-600k/","name":"The Crypto Times — DeFi Project Blur Finance Vanishes with more than $600K","type":"news_article","credibility":2},{"url":"https://www.tronweekly.com/polygon-blur-finance-flees-600k/","name":"TronWeekly — Developers Of A Polygon-Based DeFi Project Blur Finance Flee With $600K","type":"news_article","credibility":2}],"severity":"critical"},{"content":"Both smart contracts associated with Blur Finance have been labeled by block explorers as rug pull addresses. The BNB Chain contract (0x4165084A6e5388ce53c9D9892f904a2712Dd943A) is identified on BscScan as a BEP-20 BLR token contract, and the contract creator address is labeled 'Fake_Phishing438' — a designation applied by BscScan to addresses confirmed to have engaged in phishing or fraud. The contract registered 1,789 total transactions, with token balance currently at 0 BNB. The Polygon contract (0xd8a5885e456c265e9938fecc3dde7357c58b630c) is similarly flagged on PolygonScan with a rug pull warning and shows 103 total transactions, with current balance at 0 POL. The contract was created on July 7, 2022, giving the protocol a lifespan of approximately 34 days before the alleged exit. The BLR token's smart contract incorporated governance mechanisms including vote delegation, token checkpoints, and time-locked vesting — features that lent a veneer of legitimacy to what was ultimately an alleged exit scam.","heading":"On-Chain Evidence","sources":[{"url":"https://bscscan.com/address/0x4165084A6e5388ce53c9D9892f904a2712Dd943A","name":"BscScan — Blur Finance Rug Pull contract address (BNB Chain)","type":"on_chain","credibility":1},{"url":"https://polygonscan.com/address/0xd8a5885e456c265e9938fecc3dde7357c58b630c","name":"PolygonScan — Blur Finance Rug Pull contract address (Polygon)","type":"on_chain","credibility":1}],"severity":"critical"},{"content":"On-chain investigator ZachXBT, who is widely cited in crypto security reporting, commented on the Blur Finance incident in the context of investor education, stating that users should 'educate yourself about the [crypto] space' and that 'if it sounds too good to be true it most likely is' — remarks reported by the International Business Times in connection with the Blur Finance collapse. No published standalone investigation by ZachXBT specifically dedicated to Blur Finance has been located in public archives of his Mirror.xyz posts or Telegram channel as of the research date. The entity has been flagged in ZachXBT-adjacent community reporting as a cautionary example of multi-chain rug pull methodology. Security researcher Adam0658 was also credited with providing intelligence to PeckShield that contributed to identifying the incident. The scam was noted alongside contemporaneous rug pulls including Dragoma (Polygon) and Teddy Doge, which followed similar operational patterns of aggressive marketing, unrealistic APY promises, and sudden developer disappearance.","heading":"ZachXBT and Community Flagging","sources":[{"url":"https://www.ibtimes.com/defi-project-blur-finance-rug-pulled-600000-blr-token-crashes-99-3600623","name":"IBTimes — DeFi Project Blur Finance Rug-Pulled For $600,000; BLR Token Crashes 99% (quotes ZachXBT)","type":"news_article","credibility":2},{"url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","name":"CoinDesk — Over $600K Vanishes From DeFi Project Blur Finance (PeckShield / Adam0658 attribution)","type":"news_article","credibility":1}],"severity":"high"},{"content":"Security analysts described the Blur Finance incident as a textbook rug pull following a well-documented DeFi scam playbook. Red flags that were present prior to the exit included: pseudonymous and entirely unverified team members (ICOholder noted a 0% verification rate for all four listed team members); annualized yield promises of approximately 4,000%, which are characteristic of Ponzi-adjacent yield farming schemes; an extremely short operational window of approximately 34 days from contract creation to exit; and a multi-chain expansion to Polygon occurring immediately before the exit, likely to maximize the pool of funds available for withdrawal. The protocol's smart contract did receive a formal security audit from Dedaub in June 2022, which resolved two high-severity findings — a pattern sometimes used by fraudulent projects to establish false legitimacy. The initial liquidity allocation of only 10% of token supply, combined with a 60% staking rewards allocation, structured the tokenomics in a way that allowed developers to retain control over the majority of token supply. Hacken's post-incident analysis described the project as using social media marketing to create hype before the exit.","heading":"Scam Pattern and Red Flags","sources":[{"url":"https://hackenproof.com/blog/industry-news/the-rug-pull-from-blur-finance","name":"Hacken — The rug pull worth $600,000 from Blur Finance","type":"research","credibility":2},{"url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","name":"CoinDesk — Over $600K Vanishes From DeFi Project Blur Finance as Developers Disappear","type":"news_article","credibility":1},{"url":"https://icoholder.com/en/blur-finance-1028674","name":"ICOholder — Blur Finance (BLR) team verification data","type":"other","credibility":3},{"url":"https://dedaub.com/audits/blur/blur-finance-v1-0-jun-10-2022/","name":"Dedaub — Blur Finance v1.0 Smart Contract Security Audit (June 2022)","type":"research","credibility":2}],"severity":"critical"},{"content":"Blur Finance (BLR) is a distinct and unrelated entity from Blur (blur.io), the NFT marketplace that launched in October 2022 and issues its own BLUR governance token. The NFT marketplace Blur has undergone separate audits by Dedaub (including a January 2023 audit of its BlurExchange governance contracts and a July 2023 audit of Exchange V2), has venture capital backing, and operates an entirely different business model centered on professional NFT trading. Confusion between the two entities is common due to the similar names; any reference to 'Blur' in the context of NFT trading, Blend lending, or BLUR token airdrops refers to the legitimate NFT marketplace and not to the defunct yield aggregator that rug-pulled in August 2022. DefiLlama maintains separate protocol pages for both entities. The Blur NFT marketplace is not the subject of this investigation.","heading":"Disambiguation: Blur Finance vs. Blur NFT Marketplace","sources":[{"url":"https://defillama.com/protocol/blur-finance","name":"DefiLlama — Blur Finance protocol page","type":"other","credibility":2},{"url":"https://dedaub.com/audits/blur/blur-finance-delta-jan-20-2023/","name":"Dedaub — Blur Finance Delta Smart Contract Audit (January 2023, covering NFT marketplace governance)","type":"research","credibility":2}],"severity":"low"}],"timeline":[{"date":"2022-07-07","event":"Blur Finance BLR token contract created on BNB Chain; the protocol begins operations as a yield aggregator on PancakeSwap.","source":"CoinDesk / CryptoSlate reporting","source_url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear"},{"date":"2022-06-10","event":"Dedaub completes a smart contract security audit of Blur Finance v1.0, identifying two high-severity issues (both reported as resolved).","source":"Dedaub Audit Reports","source_url":"https://dedaub.com/audits/blur/blur-finance-v1-0-jun-10-2022/"},{"date":"2022-08-04","event":"BLR token reaches its all-time high price of approximately $0.06–$0.07 on decentralized exchanges.","source":"IBTimes / CryptoSlate reporting","source_url":"https://www.ibtimes.com/defi-project-blur-finance-rug-pulled-600000-blr-token-crashes-99-3600623"},{"date":"2022-08-09","event":"Alleged rug pull executed: developers withdraw approximately $600,000 from Blur Finance contracts on Polygon and BNB Chain within minutes. Social media channels are deleted and the project website goes dark.","source":"PeckShield alert / CoinDesk","source_url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear"},{"date":"2022-08-10","event":"PeckShield publicly reports the Blur Finance rug pull. BLR token collapses 99% to $0.00064. Multiple crypto news outlets cover the incident. ZachXBT comments on the case as an example of DeFi investor risk.","source":"CoinDesk, CryptoSlate, IBTimes, The Crypto Times","source_url":"https://cryptoslate.com/blur-finance-allegedly-rug-pulled-investors-at-a-combined-600k-loss/"},{"date":"2022-08-10","event":"BscScan labels the BLR token contract creator address as 'Fake_Phishing438' and both the BNB Chain and Polygon contracts are flagged as rug pull addresses.","source":"BscScan / PolygonScan on-chain data","source_url":"https://bscscan.com/address/0x4165084A6e5388ce53c9D9892f904a2712Dd943A"}],"sources_used":[{"url":"https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","name":"CoinDesk — Over $600K Vanishes From DeFi Project Blur Finance as Developers Disappear","type":"news_article","archive_url":"http://web.archive.org/web/20251101030638/https://www.coindesk.com/tech/2022/08/10/more-than-600k-vanishes-from-defi-project-blur-finance-as-developers-disappear","credibility":1,"archive_timestamp":"2025-11-01T03:06:38+00:00"},{"url":"https://cryptoslate.com/blur-finance-allegedly-rug-pulled-investors-at-a-combined-600k-loss/","name":"CryptoSlate — Blur Finance allegedly rug pulled, investors at a combined $600K loss","type":"news_article","archive_url":"http://web.archive.org/web/20260322055928/https://cryptoslate.com/blur-finance-allegedly-rug-pulled-investors-at-a-combined-600k-loss/","credibility":2,"archive_timestamp":"2026-03-22T05:59:28+00:00"},{"url":"https://www.ibtimes.com/defi-project-blur-finance-rug-pulled-600000-blr-token-crashes-99-3600623","name":"IBTimes — DeFi Project Blur Finance Rug-Pulled For $600,000; BLR Token Crashes 99%","type":"news_article","archive_url":"https://web.archive.org/web/20260724173654/https://www.ibtimes.com/defi-project-blur-finance-rug-pulled-600000-blr-token-crashes-99-3600623","credibility":2,"archive_timestamp":"2026-07-24T17:36:54+00:00"},{"url":"https://www.cryptotimes.io/2022/08/10/defi-project-blur-finance-vanishes-with-more-than-600k/","name":"The Crypto Times — DeFi Project Blur Finance Vanishes with more than $600K","type":"news_article","archive_url":"https://web.archive.org/web/20260724173415/https://www.cryptotimes.io/2022/08/10/defi-project-blur-finance-vanishes-with-more-than-600k/","credibility":2,"archive_timestamp":"2026-07-24T17:34:15+00:00"},{"url":"https://www.tronweekly.com/polygon-blur-finance-flees-600k/","name":"TronWeekly — Developers Of A Polygon-Based DeFi Project Blur Finance Flee With $600K","type":"news_article","archive_url":"https://web.archive.org/web/20260725123946/https://www.tronweekly.com/polygon-blur-finance-flees-600k/","credibility":2,"archive_timestamp":"2026-07-25T12:39:46+00:00"},{"url":"https://hackenproof.com/blog/industry-news/the-rug-pull-from-blur-finance","name":"Hacken — The rug pull worth $600,000 from Blur Finance","type":"research","archive_url":null,"credibility":2,"archive_error":"error:no-request","archive_status":"unarchivable","archive_timestamp":null},{"url":"https://bscscan.com/address/0x4165084A6e5388ce53c9D9892f904a2712Dd943A","name":"BscScan — Blur Finance BLR token contract (BNB Chain), labeled Fake_Phishing438","type":"on_chain","archive_url":"http://web.archive.org/web/20260724163319/https://bscscan.com/address/0x4165084A6e5388ce53c9D9892f904a2712Dd943A","credibility":1,"archive_timestamp":"2026-07-24T16:33:19+00:00"},{"url":"https://polygonscan.com/address/0xd8a5885e456c265e9938fecc3dde7357c58b630c","name":"PolygonScan — Blur Finance BLR token contract (Polygon), flagged as rug pull","type":"on_chain","archive_url":"https://web.archive.org/web/20260725123717/https://polygonscan.com/address/0xd8a5885e456c265e9938fecc3dde7357c58b630c","credibility":1,"archive_timestamp":"2026-07-25T12:37:17+00:00"},{"url":"https://dedaub.com/audits/blur/blur-finance-v1-0-jun-10-2022/","name":"Dedaub — Blur Finance v1.0 Smart Contract Security Audit Report (June 10, 2022)","type":"research","archive_url":"http://web.archive.org/web/20260511151431/https://dedaub.com/audits/blur/blur-finance-v1-0-jun-10-2022/","credibility":2,"archive_timestamp":"2026-05-11T15:14:31+00:00"},{"url":"https://icoholder.com/en/blur-finance-1028674","name":"ICOholder — Blur Finance (BLR) rating and team details","type":"other","archive_url":"https://web.archive.org/web/20260725083602/https://icoholder.com/en/blur-finance-1028674","credibility":3,"archive_timestamp":"2026-07-25T08:36:02+00:00"},{"url":"https://defillama.com/protocol/blur-finance","name":"DefiLlama — Blur Finance protocol page","type":"other","archive_url":"http://web.archive.org/web/20250914204725/https://defillama.com/protocol/blur-finance","credibility":2,"archive_timestamp":"2025-09-14T20:47:25+00:00"},{"url":"https://dedaub.com/audits/blur/blur-finance-delta-jan-20-2023/","name":"Dedaub — Blur Finance Delta Audit (January 2023, NFT marketplace governance — disambiguation)","type":"research","archive_url":"http://web.archive.org/web/20260511143718/https://dedaub.com/audits/blur/blur-finance-delta-jan-20-2023/","credibility":2,"archive_timestamp":"2026-05-11T14:37:18+00:00"}],"source_tags":["defillama"],"addresses":[],"reviewed":true,"reviewed_by":null,"model_used":"claude-sonnet-4-6","created_at":"2026-05-04T02:54:48.282327+00:00","updated_at":"2026-08-29T01:35:27.589+00:00"}}