Rug Pull

A rug pull is a scam where developers launch a token, attract buyers, then drain the liquidity — pull the rug out — leaving holders with worthless tokens.

A rug pull is a scam where developers launch a token, attract buyers, then drain the liquidity — pull the rug out — leaving holders with worthless tokens. The classic form is removing the ETH from a liquidity pool so nothing can be sold.

Why it matters

Rug pulls are the most common scam in crypto and the reason the “audit your token” habits exist: check that liquidity is *locked*, contracts are verified, and the team didn’t pre-mint half the supply to themselves. If you can’t see who controls the funds, you assume the worst.

Related terms

token · liquidity ·
honeypot

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