Palmswap
Last changed 2026-11-04 · Fact-check review — Fact-check review (verdict: revise): the reviewer checked the page's claims against its sources; the judge moved the trust score from 22 to 14. Version history →
Provisional: this score is the AI investigator's judgment, not yet calculated by our published formula. Treat it as indicative. How scoring works →
anchored·51fMSj…C3xuSummary
Palmswap was a decentralized perpetual futures exchange built on BNB Chain (Binance Smart Chain), launched in 2022 and offering up to 50x leverage trading via its PALM governance token and PLP liquidity provider token. On July 24–25, 2023, the protocol suffered a flash loan price manipulation exploit that drained approximately $901,455 USDT from its liquidity vault due to a critical smart contract logic flaw in the PlpManager contract. The exploiter ultimately returned $721,450 of the stolen funds after bounty negotiations, but the protocol's liquidity partner Gotbit was subsequently indicted and convicted by US federal prosecutors for market manipulation and wire fraud, raising additional integrity concerns about the project's ecosystem.
Connected Entities
5 entities · 60 linked investigations- Gotbit Consulting LLC→mentioned with→Gotbit(70%)
- ZachXBT→mentioned with→Binance(60%)
- Gotbit→mentioned with→Binance(60%)
- Gotbit→mentioned with→ZachXBT(65%)
- Palmswap→mentioned with→Binance(70%)
- Palmswap→mentioned with→ZachXBT(70%)
- Palmswap→mentioned with→Gotbit(70%)
- Gotbit→mentioned with→Gotbit Consulting LLC(80%)
- Palmswap→mentioned with→Gotbit Consulting LLC(80%)
Timeline(12 events)
20 September 2022
Palmswap holds community fair launch, raising over 6,600 BNB from participants.
CryptoNews27 June 2023
Palmswap publicly announces partnership with Gotbit Hedge Fund to provide liquidity for V2 launch. Gotbit mints and auto-stakes PLP tokens as part of the launch event.
CoinTelegraph Press Release24 July 2023
Flash loan exploit begins. Attacker uses 3,000,000 USDT flash loan to exploit a price calculation flaw in the PlpManager contract, draining approximately 901,455 USDT from Palmswap's liquidity vault.
CertiK Incident Analysis25 July 2023
SlowMist publishes independent on-chain analysis confirming the exploit mechanics and total loss of over $900,000.
SlowMist via Medium25 July 2023
Palmswap team acknowledges the exploit publicly and initiates contact with the attacker's wallet address to negotiate a bounty.
Binance Square31 July 2023
Exploiter returns $721,450 to Palmswap following bounty negotiations, retaining approximately $179,505 as an alleged bounty. Roughly 20% of stolen funds are not recovered.
Binance Square19 November 2023
Palmswap holds V2 community update AMA. Team states that user refunds are pending a 'lengthy legal process' and that repayment in USDT is planned but 'nothing final has been determined.' Roadmap for Q1 2024 features announced.
Palmswap via Medium9 October 2024
US DOJ and SEC announce charges against Gotbit Consulting LLC and its founder Aleksei Andriunin for market manipulation and wire fraud conspiracy. Gotbit had been Palmswap's liquidity partner.
SEC Press ReleaseMarch 2025
Gotbit founder Aleksei Andriunin pleads guilty to wire fraud and conspiracy to commit market manipulation in US federal court in Boston.
DOJ District of MassachusettsJune 2025
Gotbit founder Aleksei Andriunin sentenced to eight months in prison and one year of supervised release; company agrees to forfeit $23 million.
DOJ District of MassachusettsMay 2026
Palmswap protocol is effectively defunct. Website offline, PALM token trades at approximately $0 with no volume, DappRadar lists the protocol as inactive, and no team communications have been issued.
DappRadarDecision Log
- slot 465096433 · hash GAmC7MwaZiA7JxMuyLro8A4cXjSE3bNEedwn2XVayjMn
- slot 465096427 · hash DMig4Lz6ZDMLRHbfkd7v8Xp8ctuDEJUHCk52b1wZBoWR
- slot 423154366 · hash Gf7Cn4WyUEA8waAaor9WX6EP3v6epp1Ea1FgBoHTMzSt
This investigation is cryptographically anchored to the Solana blockchain (3 decisions). 15 of 17 cited source URLs have an Internet Archive snapshot.
model: claude-sonnet-4-6
generated: 5/4/2026, 2:54:40 AM
last updated: 11/4/2026, 12:14:37 AM
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