Incident: Report on Gemholic Ecosystem

Status: Investigation

3 min readJun 10, 2024

Introduction

This document is an official statement regarding the recent Gemholic Ecosystem project incident. This report is intended for investors and relevant authorities to initiate a formal complaint and investigation into the activities of the project founders. The two founders are based in Vietnam, and we are prepared to cooperate fully with Binance and other relevant authorities for fund tracing and further investigations.

Project Overview

Project Name: Gemholic Ecosystem
Description: The Gemholic Ecosystem was designed to offer various product features and mechanisms that support each other, providing new benefits for all participants. The project initially operated on the Ethereum blockchain.
Website: Previously hosted at gemholic.world (currently offline)

Founders and Key Team Members

Due to DSGVO (Datenschutz-Grundverordnung) and GDPR (General Data Protection Regulation) policies, as a German company, we cannot publicly disclose personal information about the founders. These regulations are designed to protect the privacy and personal data of individuals within the European Union. Disclosing such information without consent would violate these strict privacy laws. However, we have requested direct contact with the Vietnam Blockchain Association to facilitate the investigation and provide necessary information to the authorities.

Incident Summary

On 7th June 2024, it was confirmed that approximately $3.5 million in previously locked ETH was withdrawn by the Gemholic team, constituting a confirmed rug pull. Following these withdrawals, the project’s online presence, including its website and social media accounts, was erased, further exacerbating fears of fraudulent activities.

Key Points:

Amount Withdrawn: $3.5 million in ETH
Current Status: Online presence erased, significant fund withdrawals
Transaction Details: Transaction where funds were sent to different wallets

Efforts to Contact Founders

We have made multiple attempts to reach out to the founders via their provided email addresses and telephone numbers. Despite these efforts, we have not received any response or acknowledgment from the founders.

Audit and KYC Compliance

Gemholic Ecosystem passed the KYC verification process with SolidProof.io on March 8, 2023.

Audit Details:

Auditor: SolidProof.io
Audit Date: March 13, 2023
Report Findings: Minor issues identified, but no critical vulnerabilities
Audit Report: Link to PDF

Cooperation with Authorities

We have provided all necessary information to the official cybersecurity authorities in Vietnam and have requested direct contact with the Vietnam Blockchain Association. Additionally, we are open to collaborating with Binance and other relevant entities to trace the withdrawn funds and hold the responsible parties accountable.

Next Steps

Filing Complaints: Investors are advised to file formal complaints with their local authorities and provide this statement as supporting documentation.
Cooperation: Authorities can contact us directly to obtain further information about the founders and the project.
Fund Tracing: We will work with Binance and other relevant platforms to trace the withdrawn funds and aid in the recovery process.

Contact Information

For further assistance or to provide additional information, please get in touch with us at:

Email: incident@solidproof.io

This statement is issued to ensure transparency and aid in recovery and investigation. We remain dedicated to supporting the affected investors and working with the authorities to bring the responsible parties to justice.

References

Issued on 10th June 2024
SolidProof.io
CEO and Co-Founder