What is a Rug Pull in Cryptocurrency?
A rug pull is a type of scam where the team of a cryptocurrency project suddenly exits the project, running away with investors’ funds. Rug pulls occur particularly often on decentralized exchanges (DEX) and in the NFT world. DEXs allow users to trade cryptocurrencies without intermediaries; well-known examples include Uniswap, Balancer, and PancakeSwap. There is …