What is a Rug Pull?

Learn to smell a scam before they clean out your account

If you're entering the crypto world, you need to understand this right now: the dreaded Rug Pull.

It's no joke or meme. It's one of the most common ways to lose all your money in seconds.

A Rug Pull occurs when the developers of a project withdraw all the liquidity from the token and disappear. They literally “pull the rug” out from under you and leave you with a bunch of useless tokens that are worth nothing.

How to avoid it?

Here are some red flags:

Project without a verified team

Poorly made website or copied from another token

No audited contract

Absurd promises of returns (e.g.: 1000% APY)

A lot of hype, little technical content, and above all: if there is no locked liquidity, run away.

Rug Pulls are everywhere, but if you apply DYOR and keep FOMO under control, you can dodge them like a pro.

Like if these tips have saved you at some point.

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