Rug Pulls
A rug pull is when a project’s creators abruptly drain the liquidity or treasury and disappear, leaving holders with worthless tokens.
In depth
It is common in new tokens with anonymous teams: hype attracts buyers, then the developers remove the pooled funds or sell a hidden allocation. Warning signs include unlocked liquidity, huge team token shares and contracts that let the owner mint or freeze at will. Established, audited assets on regulated exchanges are far less exposed.
Why it matters
Recognising the pattern protects you from the most common scam in new-token markets.