The much-anticipated launch of the $Banana Gun token (BANANA) went awry, with the cryptocurrency’s value plummeting from $8.70 to a mere $0.02 in the span of just three hours. Initially blamed on a ‘rug pull’, the developers were quick to shift the responsibility to a bug within the smart contract—a bug that had, remarkably, passed two separate audits.
What you'll learn 👉
The Flaw and AI’s Role
Pseudonymous coder MisterChoc claimed to have pinpointed the problematic flaw within seconds, leveraging OpenAI’s ChatGPT technology. This revelation has ignited debates concerning the utility and limitations of artificial intelligence in the auditing of blockchain-based codes.
Response from $Banana Gun Team
To mitigate the disaster, the $Banana Gun team executed a radical strategy: they sold off the treasury wallet to drain the existing liquidity pool, created a new contract, and then relaunched the BANANA token with a compensatory airdrop for the afflicted investors. Additionally, they have announced yet another audit to ensure the token’s future stability.
Doge2014 raises 500K in days celebrating Dogecoin. Make potentially big profits and get in on exclusive airdrop!
Show more +Expert Opinions
While ChatGPT’s prowess in swiftly identifying the flaw earned it accolades, experts in the field are wary of over-relying on AI-based solutions. Kang Li, a leading expert from blockchain security firm CertiK, cautions that AI technologies may actually introduce new vulnerabilities, particularly when used by amateur developers lacking a nuanced understanding of the codebase.
The Rise of Telegram Bot Trading
The story of $Banana Gun cannot be told in isolation from the broader context of the rapidly growing Telegram bot trading ecosystem, which has been popularized by platforms like Unibot. This novel trading paradigm enables traders to snipe newly-released tokens and scout for lucrative airdrops in a far more efficient manner than traditional methods.
Trading Volume Stats
According to data analytics service Dune Analytics, bots executing trades on decentralized exchanges (DEXs) registered a record-breaking daily trading volume of $16.7 million on August 29, 2023. These figures spotlight the exponentially growing role of automation and AI in the ever-evolving crypto trading landscape.
Conclusion
The harrowing episode involving the $Banana Gun token serves as a cautionary tale for the cryptocurrency industry. While AI-based tools like ChatGPT have demonstrated significant promise in auditing code, their utility is not a substitute for human expertise, especially in a landscape as complex and volatile as that of crypto trading. As the sector continues to embrace automation, a balanced approach that integrates both machine learning and human insight appears increasingly essential.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
