A recent security audit conducted by ChatGPT has revealed significant centralization flaws within Tomwifhat (TWIF), a memecoin operating on both the Binance Smart Chain (BSC) and Ethereum smart contract.
The surge in popularity of dogwifhat (WIF) in late December 2023 has led to an increase in fraudulent memecoins adopting a similar hat theme.
According to ChatGPT’s analysis, the TWIF smart contract utilizes modifiers such as “onlyOwner,” “transferOwnership,” “renounceOwnership,” and “claimStuckTokens.” These modifiers grant extensive control to the owner of the token’s code, resulting in a highly centralized asset. ChatGPT warns that the owner can manipulate and freeze tokens, and even claim inadvertently sent coins, posing significant risks if exploited maliciously.
Furthermore, ChatGPT highlights the high potential for a rugpull due to the owner’s extensive control over the smart contract.
Coinsult’s security audit also identified several shortcomings in the TWIF contract, including the absence of functions for minting, blacklisting, and setting fees. Additionally, the owner lacks the ability to implement a honeypot feature, which prevents users from selling their assets.
Despite TWIF’s total market capitalization reaching $7.7 million, as reported by GeckoTerminal, its daily trading volume remains relatively low at $26,200, with its current trading price standing at $0.0219.
Ultimately, while TWIF’s contract complies with most standard ERC20 functionalities, its reliability hinges largely on the actions of its owner, given the centralized nature of the coin’s design. Investors are strongly advised to conduct thorough research before investing in cryptocurrencies, particularly memecoins.
Summary Review: The security audit conducted by ChatGPT has uncovered significant centralization flaws within Tomwifhat (TWIF), a memecoin operating on both the Binance Smart Chain (BSC) and Ethereum smart contract. The extensive control granted to the owner through modifiers in the token’s code poses considerable risks, including the potential for token manipulation and rugpulls. Despite TWIF’s substantial market capitalization, its reliance on a single owner for control raises concerns about its long-term trustworthiness. Investors should exercise caution and conduct thorough research before engaging with cryptocurrencies, particularly memecoins, to mitigate the associated risks.
Disclaimer: Remember that nothing in this article and everything under the responsibility of Web30 News should be interpreted as financial advice. The information provided is for entertainment and educational purposes only. Investing in cryptocurrency involves inherent risks and potential investors should be aware that capital is at risk and returns are never guaranteed. It is imperative that you conduct thorough research and consult with a qualified financial advisor before making any investment decision.
