Bitcoin
Bitcoin
BTC
$104,014.00
1d: +1.60%
7d: +1.05%
$104,014.00
+1.60%
Ethereum
Ethereum
ETH
$2,595.41
1d: +0.97%
7d: +17.30%
$2,595.41
+0.97%
Polkadot
Polkadot
DOT
$4.88
1d: +0.49%
7d: +8.46%
$4.88
+0.49%
Solana
Solana
SOL
$172.74
1d: -0.51%
7d: +6.19%
$172.74
-0.51%
XRP
XRP
XRP
$2.42
1d: -3.19%
7d: +5.48%
$2.42
-3.19%
Shiba Inu
Shiba Inu
SHIB
$0.00001511
1d: -0.46%
7d: +5.58%
$0.00001511
-0.46%

Rug Pull

Share this article:
x fb linkedin tg
Table of contents
    1. 0.2. How Rug Pulls Happen
    2. 0.4. Why Rug Pulls Are a Big Deal

A Rug Pull is a type of scam in the crypto world where developers suddenly withdraw funds from a project and disappear, leaving investors with worthless tokens.

How Rug Pulls Happen

Rug pulls usually occur in decentralized finance (DeFi) or NFT projects. Developers launch a token or platform, attract liquidity or investment through hype, and then abruptly drain the funds, often from a liquidity pool, without warning. These scams often involve flashy websites, fake promises, and anonymous teams.

Why Rug Pulls Are a Big Deal

Rug pulls damage trust in the crypto ecosystem and highlight the risks of investing in unvetted or hype-driven projects. Learning to spot red flags, like anonymous teams, unaudited code, and unrealistic returns, can help protect users from falling victim. Transparency and community involvement are key defenses against this type of fraud.