Wallets, Security & Custody

How can I spot a rug pull before investing?

A rug pull is a scam where a project's creators abandon it and take investors' funds, often by draining liquidity or dumping their token holdings. Warning signs include anonymous teams, no independent audit, a tiny concentrated holder base, locked or absent liquidity, unrealistic return promises, and contract code that lets developers mint unlimited tokens or block selling. For example, if a handful of wallets hold most of the supply and liquidity is not locked, exit can happen overnight. No checklist removes risk entirely, and verification reduces but does not eliminate it.

Crypto investments are subject to market risk and volatility. Past performance is not indicative of future returns. This is general information, not investment advice — consider your own circumstances or consult a qualified adviser before investing.