On August 25, 2023, Magnate Finance team rug-pulled Base depositors by deleting communication channels (Telegram/website), manipulating the price oracle, and draining all assets. The deployer had previously executed Solfire rug ($4.8M) in 2022.

Base on-chain exit scam Magnate Finance has seen its TVL drop by ~$6.4M as the deployer modifies the price oracle provider and removes all assets. On-chain sleuth ZachXBT says the Magnate Finance deployer address is linked to exit scams Solfire, Kokomo Finance. Magnate Finance's website and social platforms are currently down and its Telegram group has been deleted. According to MistTrack monitoring, funds have cross-chained from Base to ETH, Arbitrum, and Optimism.