BubbleMaps Offers $30M BMT Bounty to Crypto Scam Hunters

Blockchain analytics firm BubbleMaps launched a $30 million BubbleMaps BMT bounty on Tuesday, offering token rewards to researchers who uncover scams and suspicious wallet activity as fraud continues to hit digital assets.

Largest crowd bounty in the sector

BubbleMaps said it will distribute the bounty in its BMT token to independent auditors, on-chain analysts and whistleblowers. The company, best known for mapping wallet connections, aims to expose hidden ownership structures in crypto projects.
“This program puts power back into the community’s hands,” co-founder Louis Polverini said.

Crypto scams persist despite tighter rules

Investors continue to report rug pulls, pump-and-dump schemes and coordinated wash trades. Industry surveys show global fraud losses in the billions each year. Regulators in the United States and Europe tightened oversight, but enforcement often lags behind market activity.
“Fraudsters exploit opacity,” said Clara Singh, an independent blockchain auditor in Singapore. “When combined with financial incentives, visualization tools can increase the cost of deception.”

Analysts question the impact

Some compliance specialists welcomed the size of the BubbleMaps bounty but doubted its effectiveness. “It is ambitious, but bounty systems can also be gamed through false claims or disputes,” said David Morales, a consultant in Madrid.
He added that even partial success might discourage small-scale scams if criminals believe they face faster detection.

Industry comparisons

Exchanges and analytics firms have tried smaller programs before. Binance set aside $10 million for whistleblowers in 2022. Coinbase and Chainalysis funded limited research grants. BubbleMaps’ $30 million fund marks the largest attempt so far.
“Governments cannot pursue every fraud case,” Singh said. “Industry has to support detection.”

Different reactions from traders

Retail traders in online forums said the bounty could help protect them, though many called for stronger checks at exchanges. Institutional investors reacted more cautiously.
“The optics are good,” said a hedge fund manager who declined to be named. “But capital allocation depends on custody standards and regulation, not bounty hunters.”

Fraud keeps volatility high

Analysts noted that fraud remains a driver of volatility, triggering sudden sell-offs when scams unravel. Morales said token-based rewards add incentives but cannot remove systemic weaknesses.
Market watchers also pointed out that companies sometimes announce large bounties to boost visibility for their tokens.

Next steps for BubbleMaps

BubbleMaps said it plans to begin payouts by year-end. The company will review reports with internal staff and external validators. Rewards will range from small token grants to multi-million allocations depending on the scale of uncovered fraud.

The BubbleMaps BMT bounty could raise the firm’s profile if the community engages. Limited participation could instead leave the program looking like a costly promotion.