Documentation Index
Fetch the complete documentation index at: https://docs.webacy.com/llms.txt
Use this file to discover all available pages before exploring further.
Overview
A rug pull is a scam where token creators suddenly remove all liquidity from a trading pool, crashing the token’s value to near zero and leaving investors with worthless holdings.How Rug Pulls Work
- Token Creation: Scammer creates a new token
- Liquidity Addition: Initial liquidity is added to DEX
- Hype Building: Aggressive marketing attracts buyers
- Price Pump: Buying pressure increases token price
- Rug Pull: Creator removes liquidity, crashing the price
- Exit: Scammer disappears with the funds
Types of Rug Pulls
Hard Rug Pull
- Sudden, complete liquidity removal
- Token becomes immediately untradeable
- Most obvious but hardest to recover from
Soft Rug Pull
- Gradual selling by insiders
- Slow price decline over time
- Harder to identify as a scam
Liquidity Drain
- Hidden functions allow liquidity removal
- May bypass “locked” liquidity claims
- Often uses complex contract mechanisms
Detection Indicators
| Tag | Severity | Description |
|---|---|---|
rug_pull | Critical | Token associated with rug pull activity |
unlocked_liquidity | High | Liquidity is not locked |
low_liquidity | High | Insufficient liquidity for safe trading |
owner_can_drain | Critical | Owner has ability to drain funds |
minter-rug_pull | Critical | Token minter involved in previous rugs |
API Example
Red Flags
- Unlocked liquidity - No verified lock on LP tokens
- Anonymous team - No public, verifiable identities
- Unrealistic promises - Guaranteed returns or moonshot claims
- Rushed launch - Little documentation or roadmap
- Concentrated ownership - Few wallets hold most supply
- No audit - Contract not reviewed by reputable auditors
Liquidity Analysis
- Total liquidity - Higher is generally safer
- Lock status - Is LP locked? For how long?
- Lock contract - Is it a reputable locker?
- Unlock date - When can liquidity be removed?
Protection Strategies
- Verify liquidity locks - Check lock duration and contract
- Research the team - Look for doxxed, verifiable members
- Check holder distribution - Avoid concentrated ownership
- Start small - Never invest more than you can afford to lose
- Use Risk DD - Scan tokens before investing
- Monitor for changes - Set up alerts for liquidity movements
Related Concepts
- Honeypots - Tokens that prevent selling
- Liquidity Risks - Understanding liquidity dangers
- Snipers & Bundlers - Launch manipulation
