Don’t Get Rug Pulled

[Awaklara]

Best way to win in this space is not by following hype, trends and stuff. Is playing it safe and knowing how to take the right risks, because some risks aren’t worth taking at all.

I know many people are interested in new coins because they can make huge profits in a short time. They try to manage the risk by putting in a small amount of money. But when they succeed with the small amount they invested, they become greedy and put in larger amounts to maximize their profits. 
Even though they have experienced and seen losses that could be 100%, they still view new coins with a chance of a rug pull as the fastest way to make money.

[FinneysTrueVision]

Something that isn’t mentioned in the OP is how tokens can become slow rug pulls over time. One of these examples is UNI. They are the most forked protocol in DeFi and have over $1 billion in daily trading volume. Yet their token’s price peaked a few months after launching and has been going down ever since, for 5 years straight.

The developers might say it’s because of regulation that they weren’t allowed to share their profit to those that played a major role in funding their success. In reality it was just greed that made them launch a token they didn’t have any intention of driving value towards.

[Outhue]

We are basically talking about altcoins here, I saw something in 2023 where a project raised millions of dollars and after a year into 2024 they exit the market, they stated that they didn't meet their target and they needed more money so this is the end of the road for them, if you ask me I would say this was intentional, they intentionally close the project down and run away with that money because they build nothing.

That project is all about DeFi and AI and they don't even listed on big exchanges like Binance, where I believe that the majority of projects spend money that they raised. Harder regulation still needed to be introduced in crypto space to get developers like this in the prison where they belong, so many of them have robbed people pretending to deliver something unique just to raise funds.

[Hypnotizer]

If you’re new to crypto the safest move is not buying unknown tokens at all . I know many will still buy but reduce it and focus more on solid project like Bitcoin (that’s safe and with a risk that’s easy to manage), many will still belike but the value is high already! Yes it is but doesn’t stop it from growing even further.

The best advice for newbies….focusing on Bitcoin alone for investment even when you  decide to diversify to other cryptocurrencies it is better you buy well known crypto not all these new tokens and memecoins.

Chasing quick gains in this space will most a times lead to loses so it is better to have the patience of Hodl long term rather than chasing one long green candle..

Let’s me start with this , first what’s rugpull!

Rug pull is when a project creators or founder create a fake cryptocurrency project, gains people's trust, and then suddenly pulls out all the money, leaving investors with worthless tokens . It’s not just a failed project it’s intentional fraud where the goals is to extract funds , not build value .

Ohh, I’ve heard of this scam before but I’ve not actually seen someone close to me fall for it and that’s why as a newbie in Crypto it is better  you don’t invest in most of these new projects, token and coins if you don’t want to fall for either pump and dump scams and this Rugpulling scams.

[ultrloa]

Best way to win in this space is not by following hype, trends and stuff. Is playing it safe and knowing how to take the right risks, because some risks aren’t worth taking at all.

I know many people are interested in new coins because they can make huge profits in a short time. They try to manage the risk by putting in a small amount of money. But when they succeed with the small amount they invested, they become greedy and put in larger amounts to maximize their profits. 
Even though they have experienced and seen losses that could be 100%, they still view new coins with a chance of a rug pull as the fastest way to make money.

Common action done by newbies since eventually they might think that if they used more bigger amount to invest or buy those new coins they see in the market, they probably could earn more. That greedy thoughts usually put them on danger because this situation usually been exploited by those scammers.

Many times we have seen those project perform good on early phase, but once they earn the trust of people then they put more scamming situations will follow after that. With those situation I really think that its better for those coins to abandon once they already gain and much better not to comeback since there's huge chances that rug pull schemes might gonna happen after the project gains lots of volume.

[michellee]

The thing you can do is research and only use the money you can afford. That is the best suggestion that I always remember till now. If I feel suspicious to the project, I will leave it and search for other project.

Maybe the research showing the good result but if my feeling feels not right, I will not involve to the project. That is playing it safe for me and that is the way to avoid scam projects.

But the method is not always works because we could be careless and forget something without we realizes.

Only carefully that we can do to avoid the rugpull projects.

[sheenshane]

Best way to win in this space is not by following hype, trends and stuff. Is playing it safe and knowing how to take the right risks, because some risks aren’t worth taking at all.

I know many people are interested in new coins because they can make huge profits in a short time. They try to manage the risk by putting in a small amount of money. But when they succeed with the small amount they invested, they become greedy and put in larger amounts to maximize their profits. 
Even though they have experienced and seen losses that could be 100%, they still view new coins with a chance of a rug pull as the fastest way to make money.

These kinds of investors aren't true investors because they seek profit in a short period.
I prefer to call them gamblers, since they know it's a high-risk investment in a new project, even when they know it clearly lacks a product or seems like a scheme.

However, there are also clever investors I've personally met who invest in new projects but exit after reaching their target profit.  IMO, invest only if the probability-weighted expected value exceeds your hurdle rate after accounting for risk.

It's easy to avoid rug pull projects, just don't invest them especially in shitcoin or in a hype projects.
Stick to Bitcoin if you don't want to invest like a gambler, it's a safe haven.

[Die_empty]

The thing you can do is research and only use the money you can afford. That is the best suggestion that I always remember till now. If I feel suspicious to the project, I will leave it and search for other project.

Maybe the research showing the good result but if my feeling feels not right, I will not involve to the project. That is playing it safe for me and that is the way to avoid scam projects.

But the method is not always works because we could be careless and forget something without we realizes.

Only carefully that we can do to avoid the rugpull projects.

Buying altcoins is pure gambling. Researching these tokens might not unveil the profitability or genuineness of such coins. These coins are usually hyped through different avenues. Some of them have a well-written whitepaper that projects the project as the best. Identifying projects that will rug pull is always hard because they will act right to gain the trust of investors. Some people go to the extent of taking loans to buy these altcoins. Just as you said, these coins are risky that is why they should invest what they can afford to lose..

[sunsilk]

The main lesson is to stick with Bitcoin.

Most of the investors that gets rug pulled are those who are not content with what they're holding through Bitcoin. We all understand that we want to have more stacks of different crypto to have it diversified.

But it's proven and tested that if you're holding Bitcoin, the chance of getting rug pulled is low to zero because it won't happen to it while you're holding it on your own wallet.

There is a new pattern I have seen with new projects and that is what has been going around projects even the so called venture capital doing all series of fund raising, they are basically upgraded scam with little money and fame trying to make money from the market. If you observe very well, there has not been a bull run for Altcoins, this has increased many people trying to become a team where they allocate all huge allocation to their self, make listing and sell everything on open market.

Just check around new coins that are listed on Binance exchanges, they are dead with little to no liquidity, the bag holders are waiting for one big candle so they can sell and move on with their life. One bad thing about these projects is that they can remain their for long period of time while the coins will be dumping 99% upon another 99% until you have nothing to the wallet anymore. Have seen billions worth of market worth less than $30 million, that's shit crypto for you.

That's a wild ride for crypto and those who have been chasing the new projects thinking they'd hit a jackpot with it are the ones they're targeting.

While exchanges simply earn from these new projects with its listing fees and as well as commissions from the supply they get.

Once they have no use anymore, they'll delist it and that's how business goes for the exchanges. And this leaves the investors that are gullible that fell for these new projects.

[Marykeller]

If newbies should have the idea that crypto investment is not a get-rich-quick scheme, it will do a lot of good to help them not to fall into all these pump and dump coins that project themselves as legit where their target is scam investors who are in a hurry to make it in crypto.

Unfortunately, this is how we have found it to be in the crypto space, so many of us have learn our lesson from it, so many have still not learnt their lesson from it that crypto is not money making schemes to be rich in a hurry

[Odogwu-Blockchain]

I believe most people are hooked to these because of the return, it's like high risk, high return, which for me this is totally a gambling and irresponsible.

Some investors sees it as gambling and irresponsible trading, while some investors like me sees it as fishing for bigger instantaneous winnings, it doesn't really matter how much money I used to fish out this kind of profits, so long as I can spend the amount I can afford to lose.

I've seen many investors who got lucky in this kind of game, where everything around them totally change for good, it's all a one time hit buy button that change situation within 48 hours, I've experienced once and I'll love to repeat the experience again.

I'll always advise investors who had interest in such investment to be spending funds they could afford to loss, that's my one cent3.

[Jegileman]

If you’re new to crypto the safest move is not buying unknown tokens at all . I know many will still buy but reduce it and focus more on solid project like Bitcoin (that’s safe and with a risk that’s easy to manage), many will still belike but the value is high already! Yes it is but doesn’t stop it from growing even further.

No any token now or that will come in the future that will have the best potential for growth than Bitcoin. So leaning on Bitcoin as the asset to rely on for future prospects in your investment is very important  and the best. Don’t get persuaded by the many offers and the timeframe you’re been said for this new tokens to reach all time high and bigger growth for profit for you, just focus on the long term prospects of  bitcoin which has already been tested and trusted.

Bitcoin may be slow in growing, but you’ll never regret ever participating in it and making it a priority to invest in this cryptocurrency space. There maybe other great tokens out there, but not being able to vouch for them makes them become an external choice to go for after making bitcoin have the largest share of our investment.

[nakamura12]

No matter if you are in cryptocurrency for years already as long as the person is greedy then the chance of you losing money is high just like in gambling. Not doing your own research is also a factor why people would jump into something that people make a hype with when it's just a trap for people who are going to take money from victims. Everyone should think that crypto isn't a get rich quick scheme that people can just buy crypto and get rich overnight without doing much.

[ancafe]

If you’re new to crypto the safest move is not buying unknown tokens at all . I know many will still buy but reduce it and focus more on solid project like Bitcoin (that’s safe and with a risk that’s easy to manage), many will still belike but the value is high already! Yes it is but doesn’t stop it from growing even further.

Let’s me start with this , first what’s rugpull!

For beginners in crypto, avoid watching educational content about financial freedom that involves meme coins. I see a lot of content produced to gain social media support. If someone doesn't have proper knowledge, they will be trapped into buying these meme coins and ultimately experience a rug pull as happened in my country in previous years. This generally happens to those who think they can make big profits in crypto with little capital, but without realizing it they are trapped in a much worse situation.

It's better to focus on fundamental assets, even though they are slow but much more certain because we see Bitcoin as the only asset that can lead someone to financial freedom. There are many approaches that can be taken even if we have small capital because the most important thing is the level of consistency in buying, then slowly the growth of assets will definitely increase.

[joniboini]

For beginners in crypto, avoid watching educational content about financial freedom that involves meme coins. I see a lot of content produced to gain social media support. If someone doesn't have proper knowledge, they will be trapped into buying these meme coins and ultimately experience a rug pull as happened in my country in previous years.

Does nobody call them out? Where do you see these contents? As far as I'm aware, most popular YouTube videos about crypto are usually about crypto scams, ponzi, and so on. Good educational content has far less content, which is understandable since most people just want to know the latest thing without understanding too much about it.

It's kinda hard to discourage people from buying some meme tokens or something similar if they intend to earn quick bucks from the beginning, though. Even some ads from famous businesses in my area also tend to sell the high return part, albeit saying that it's risky and whatnot (due to regulations obvsiously).

[Die_empty]

If newbies should have the idea that crypto investment is not a get-rich-quick scheme, it will do a lot of good to help them not to fall into all these pump and dump coins that project themselves as legit where their target is scam investors who are in a hurry to make it in crypto.

Unfortunately, this is how we have found it to be in the crypto space, so many of us have learn our lesson from it, so many have still not learnt their lesson from it that crypto is not money making schemes to be rich in a hurry

I was fortunate to start my crypto journey from this forum. I spent time reading many posts here and I learned that most of these projects that promise high returns are fraudulent. Knowing this fact in my early years in the crypto industry made me channel all my resources to Bitcoin. Some people said that there are altcoins that are stable and worth buying but I have not tried to own any. Maybe I might do some research to identify those I can diversify my crypto investment into. But for now, it's Bitcoin or nothing.

[Dechris_08]

Here's my filter before I touch anything outside top 50: locked liquidity, contract audit, and team transparency.

If liquidity isn't locked for at least 6-12 months, I don't care how good the marketing is.

If the contract isn't audited by a known firm (CertiK, PeckShield, etc.), I'm out.

And if the team is anonymous with zero prior track record, that's a red flag unless there's a very good reason.

Most rug pulls fail this basic checklist.

The ones that pass it can still fail, but at least you're not gambling blind.

[tech30338]

if you dont want to waste money go with the top 10 token and do DCA, this will help you , also invest money that you are willing to lost since bitcoin and other altcoins is volatile we can't avoid it just like what happen last week, but you need also not to panic thats the main thing, panic will only give you lots of loses in the long run imagine the market is crashing and you panic sold your holdings , then after a few minutes it came back up, thats a loss, so to be safe, avoid meme coins so you will not be rug, and don't panic.

[yixichloro2xx]

You said it well. People lose money alot because of rug pulls that happened to the due to their lack of knowledge and also greed of looking for quick money. Newly developed token often look attractive but that's where crash happens especially memecoins. At times influencers usually rug pulls their followers due to the trust those people have. Before putting your money into something you don't know anything about, it's better to do your own research so that you will know what's right. This is why we keep saying investing in Bitcoin is better, even though it may take time but surely the risk is lower and there's good gain in it .

[Cookdata]

We are basically talking about altcoins here, I saw something in 2023 where a project raised millions of dollars and after a year into 2024 they exit the market, they stated that they didn't meet their target and they needed more money so this is the end of the road for them, if you ask me I would say this was intentional, they intentionally close the project down and run away with that money because they build nothing.

That project is all about DeFi and AI and they don't even listed on big exchanges like Binance, where I believe that the majority of projects spend money that they raised. Harder regulation still needed to be introduced in crypto space to get developers like this in the prison where they belong, so many of them have robbed people pretending to deliver something unique just to raise funds.

2023 is a long time. We had projects that raised 400m last year, they were all over my timeline. The only reason why they had my attention was that I wanted to see what they were going to builf after raising almost half billion only to end up launching the same erc20 tokens, a ghost town layer 1 project that wasn't generating any revenue fees, the total value lock was almost nothing, just a valifator project processing transaction, the hype is dead now.

Vitalik said the entire crypto is turning to a shitshow of gambling without any real utility and if this continue without any use case, the industry will die off. Altcoins will die eventually, I'm not sure if we are going to have that utility he is talking about when himself can't even build and keep to promises of his ethereum chain. Founders are just building on hype and lies.