StableMagnet
Last changed 2026-11-01 · Fact-check review — Fact-check review (verdict: revise): the reviewer checked the page's claims against its sources; the trust score did not change. Version history →
Why this score
| Every page starts at | 65 |
| The subject's own conduct | -81 |
| Sum | -16 |
- The page establishes that the subject is itself a scheme, so the score is 0.
- 1 section set aside: the claims did not hold up in a fact-check, pending correction.
Score: 0/100 (kept between 0 and 100)
How scoring works →Page reliability: Fact-checked 2026-11-01 · 9 of 14 claims confirmed · 2 need better sources · 3 disputed
anchored·553pkA…y3pSSummary
StableMagnet was a stablecoin yield and DEX protocol launched on Binance Smart Chain (BSC) that executed a deliberate rug pull on June 23-24, 2021, stealing approximately $27 million in USDT, USDC, and BUSD from over 1,000 users. The team concealed a malicious backdoor by substituting an unverified SwapUtils library for the one shown in publicly audited source code — a novel attack vector that exposed a critical gap in how block explorers verify linked library code. Following an anonymous white-hat investigation and Manchester police arrests, most of the stolen funds were eventually returned by late 2022.
Connected Entities
7 entities · 60 linked investigations- StableMagnet→mentioned with→ZachXBT(70%)
- StableMagnet→mentioned with→Ethereum(70%)
- StableMagnet→mentioned with→Polygon(60%)
- StableMagnet→mentioned with→Multichain(75%)
- StableMagnet→mentioned with→Binance(70%)
- ZachXBT→mentioned with→Ethereum(70%)
- ZachXBT→mentioned with→Binance(60%)
- Binance→mentioned with→Ethereum(65%)
- Cointelegraph→mentioned with→ZachXBT(70%)
- Cointelegraph→mentioned with→Ethereum(60%)
- + 6 more
Connected Through
6 shared actors · 607 investigationsDistinct actors this investigation shares with others — holders, traders, and named parties. Shared infrastructure (exchanges, pools) is excluded.
- □Ethereumorganization
- □ZachXBTorganization
- □Binanceorganization
- □Polygonorganization
Timeline(7 events)
June 2021
StableMagnet launches on Binance Smart Chain, offering a USDT/USDC/BUSD 3Pool stablecoin DEX with a TechRate audit in place.
23 June 2021
StableMagnet team activates malicious backdoor in the unverified SwapUtils library (0xE25d05777BB4bD0FD0Ca1297C434e612803eaA9a), draining approximately $22.2 million in USDT, USDC, and BUSD from the 3Pool and sweeping tokens from wallets with open approvals. Total losses reach approximately $27 million.
24 June 2021
PeckShield alerts the crypto community on Twitter that StableMagnet's SwapUtils library is unverified and different from the main swap contract source code, urging users to revoke approvals immediately. Rekt News publishes a detailed post-mortem.
24 June 2021
Stolen funds are bridged from BSC to Ethereum via AnySwap/Multichain and converted from USDT to DAI in an apparent laundering attempt. All StableMagnet websites and social media accounts go offline.
July 2021
Halborn publishes detailed technical analysis of the library substitution attack vector, noting the structural verification gap in Etherscan and BscScan.
30 January 2022
An anonymous white-hat hacker goes public (via CoinTelegraph and Bankless Times coverage) with details of their investigation: they identified alleged perpetrators as Hong Kong-based individuals, tracked their travel to Manchester, UK, and cooperated with Manchester police, who arrested suspects and recovered approximately $9 million from a USB device.
December 2022
Approximately $24 million of the originally stolen $27 million is reported returned to victims, following arrests and cooperation from alleged co-conspirators, per Quadriga Initiative records.
Decision Log
- slot 464269848 · hash 2mk1dAFMhs1d1pBH385XVPjTKg4xZK979mFa9r11yet3
- slot 464269843 · hash ELBDKhskzACiPVeQbqPhAtvfKs1PEY7AWTH8C6jXAPtT
- slot 461962601 · hash B34pVTA2RS7pG5p1pNZCZyfwj1AuwSBpSLFfgXzEAh9c
- slot 422206362 · hash 3PVBfqYyCfFXp1Th3CXautPJ8tJDL44mQksNVz4N3ort
This investigation is cryptographically anchored to the Solana blockchain (4 decisions). 9 of 11 cited source URLs have an Internet Archive snapshot.
model: claude-sonnet-4-6
generated: 5/4/2026, 2:54:56 AM
last updated: 11/1/2026, 11:03:03 PM
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