I talked about rug pulls and now let's discuss how to avoid them. Spoiler alert: DYOR!
🕵🏻1. Check the website.
In most cases when scammers want to make a quick profit, they won't design a sophisticated website.
The simpler the platform is - the more chances that there's something wrong with the project.
Check the domain.
It should be registered way earlier than the launch date.
If it took a few days from domain registration to the launch of the project, it's a fraud.
🕵🏻2. Check the social media.
Usually crypto projects hire professionals for it.
With the well-coordinated team of the project, the brand is clear and there's a lot of info – links to documentation, articles about the project, reviews etc.
If you can't find any clear info from the social media – it's a sign that you need to be careful.
And remember:
In most cases, numbers of followers are fake.
So it's better to pay attention to when the account was registered and when it started posting.
🕵🏻3. Check the coins distribution.
If coins are concentrated in a small number of wallets, the project looks suspicious.
🕵🏻4. Check the team.
If the team behind a project prefers to stay anonymous – it's a red flag.🚩
🕵🏻5. I could add something like "check the activity on their socials", but it can easily be faked.
Stay alert and always DYOR before investing!
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