AN AUDIT DOES NOT ELIMINATE 100% OF RISKS!!!

HERE'S THE EXPLANATION 👇

That a cryptocurrency has passed an audit reduces certain fraud risks, but does not eliminate them completely.

An audit, especially if conducted by a trustworthy firm, verifies aspects such as code security, the integrity of smart contracts, or the transparency of funds (in some cases).

This can mitigate risks related to technical vulnerabilities or internal manipulations by developers. However, there are limitations:

Scope of the audit:

Not all audits cover all aspects of the project. For example, they may focus on the code and not on team management or economic viability.

External frauds:

An audit does not protect against scams such as phishing, exchange hacks, or rug pulls if the team acts in bad faith after the audit.

Human or unknown errors:

Auditors may overlook vulnerabilities or unknown exploits at the time of the review.

Trust in the team:

Many frauds are not in the code, but in the intentions of the team (e.g., project abandonment or embezzlement).

In summary, an audit is a positive signal, but it does not guarantee the absence of risks. It is crucial to complement with your own research: review the team, the community, the transparency, and the project's history.

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