'Rug-Pull: How to Spot the Fraud Easily via Smart Contract Codes' blockchain tatum_io
They then drain the funding pool and crash the token's value to zero before finally disappearing into thin air and vanishing with the cash. Rug-pull scams were responsible for more than US$2.8 billion in unlawful activities in 2021, close to an all-time high and up 81 percent from 2020, according to the Blockchain data tracker system, Chainalaysis.
How was this done? The developers manipulated and locked the smart contract code to prevent investors from swapping or selling their tokens after they peaked for profit.
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