Dear DataHub Community,
On April 23 at 2:54 PM ET, we received a report via our Discord ticket system regarding suspicious activity in the distribution of DataHub rewards. The concern was brought to our attention by a vigilant community member, and we acted immediately to investigate the issue thoroughly.
tl;dr:
- An internal staff member managed to create fake accounts and earned fake points, ultimately making himself the primary beneficiary of the DataHub lucky draw program.
- The individual is in the process of being dismissed, and OORT has taken immediate steps to recover the misappropriated assets. An official attorney demand/cease letter will be issued, and we reserve the right to pursue legal action if the situation escalates or damages persist.
- This incident has exposed operational weaknesses within our team. We are addressing these issues with comprehensive improvements across governance, processes, and transparency.
- OORT takes full responsibility for this breach of trust. We acknowledge the lapse in oversight and are committed to compensating affected DataHub users impacted by this unfair behavior.
- Moving forward, OORT will uphold full transparency in its operations and welcomes community oversight as part of our ongoing commitment to integrity and fairness.
Summary of the Issue
A portion of the distributed rewards was found to have been transferred to the wallet address:
Wallet A – 0xF293c3e665C489bA84b4Adf948b23134e5B439AD
The rewards were sent from the following wallet address:
Wallet B – 0x76FeBE38Ba8A66f1b542D0Aa14a53909EDD1D1Cd
The official OORT wallet address:
Wallet C – 0xE9acB1B04E02Fef9B8A322c4b3504cb6301FEDe5
Blockchain records indicated that Wallets A and B had a history of BNB transfers between them. This led to a community concern that Wallet A might be linked to the OORT team, and that the rewards distribution process had been manipulated.
After a full internal investigation, we are sharing a transparent and fact-based explanation of what occurred:
- Wallet A and wallet B were associated with a backend engineer at OORT who was responsible for developing the DataHub leaderboard lucky draw system. Following the investigation, the company promptly initiated the dismissal process for the individual involved.
- This individual exploited the API he developed to create multiple accounts and manipulate sign-on activities, earning points across these accounts. This allowed him to unfairly increase his chances in the lucky draw and claim a significant portion of the final reward distribution.
- The rewards were intended to be distributed from Wallet C. However, this individual redirected the funds from Wallet C to Wallet B for distribution. The illegitimately obtained rewards were then consolidated and ultimately transferred to Wallet A.
- The BNB transfer between Wallets A and B were for the individual’s personal use and do NOT indicate any involvement or coordination at the team level in the fraudulent activity.
Our Response
We take full accountability for the internal oversight and are taking the following actions:
- Governance Acknowledgment:
- We acknowledge our failure in internal controls and employee oversight that allowed this to occur.
- An official attorney demand/cease letter will be issued, and we reserve the right to pursue legal action if the situation escalates or damages persist. We are committed to strengthening our governance measures to prevent similar incidents in the future.
- Fund Recovery & Compensation:
- We are in the process of recovering all illegitimately obtained rewards from the individual involved. The recovered amount will be reserved for the next lucky draw.
- Until the next lucky draw happens, we also welcome suggestions from the community on alternative compensation or redistribution plans—please feel free to share your thoughts.
- Action Plan for Improvement:
- A comprehensive and rigorous code review will be conducted and completed within one month.
- Strengthening employee governance and access controls.
- Increasing the transparency of DataHub operations and executions.
We sincerely apologize to our community for this incident. Trust and fairness are at the core of DataHub, and we are committed to learning from this and making our systems stronger and more transparent moving forward.
Thank you for your understanding, your vigilance, and your continued support.
The OORT Team
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