When trading meme coins, have you encountered situations where the value suddenly drops to zero?
Meme coins are a high-risk token, and common risks include:
1. Mintable: Whether the token creator can create new tokens after the initial issuance, which may lead to token inflation and depreciation.
2. Honey Pot: When "yes", it indicates the existence of a honey pot, where the token creator uses technical measures to restrict the sale of tokens, leading to potential investment losses.
3. Top 10 Holders: If the top 10 wallets hold a large amount of tokens, it may lead to centralization risks and potential market manipulation.
4. Renounced: Contract permissions have been renounced. If permissions are not renounced, the creator may modify contract behavior (e.g., prohibiting sales, changing fees, or minting new tokens).
5. Locked/Burned: Indicates the risk of exiting the liquidity pool. LP tokens in the liquidity pool are either locked (retrievable after expiration) or burned (transferred to a burn address, making them irretrievable). If the LP is in circulation, this may lead to a large withdrawal of liquidity.
6. Buy/Sell Tax: Indicates the transaction tax that needs to be paid to the token creator during the buying and selling process.
📌 Common Meme Coin Risk Detection Tools🛠️, which can assist in token risk assessment to avoid unnecessary financial losses.