Thread by @RadLockio

1/15 Recently, I came across a r/cc thread that stated "97.7% of tokens launched on Uniswap were rugpulls according to a finding." The situation on BSC (pancakeswap) is even worse.
Another educational 🧵
#Radix #EVM #rugpulls #liquiditylocks #smartcontracts #cryptoinvesting $xrd

2/15 This particular sentence has caught my eye:


"More precisely, we show that 90% of tokens using locking contracts tend to become a #rugpull or a malicious token eventually."

3/15 Sometimes liquidity locks on #EVM chains are only a few minutes long to trick the bots. Other times, they are legitimate-looking 1+ year locks.

4/15 I've seen scenarios where everything seems legit: 100% of liquidity locked, the creator of the token holds a few percentages of total supply and is unable to impact the market significantly, no huge #whales, and perfect #distribution.

5/15 And suddenly BOOM, price drops 99.9999% in a moment. How does this happen? The answer is hidden mint.

6/15 The developer of a smart contract usually creates a method that can #mint an unlimited amount of tokens and send them to their wallet. To be 100% confident that the #EVM token is not malicious, you need to understand #solidity and go through each line of the smart contract.

7/15 No hidden mints on #radix; assets native to network. Malicious behavior in #asset not possible. Liquidity #locked, team tokens vested, asset immutable, and good distribution? Your investment safe from #rugpull.

8/15 Next, we have #rebase token scams which EVM allows. Rebase tokens are very malicious. Essentially, the chart seems to go permanently up, but how?

9/15 The developer of the smart contract can literally control the tokens in YOUR #wallet and #burn them, making the total supply lesser, and thus making the price of a single token go up. Crypto #noobs thing that rebase token investment is easy money, and they get burned.

10/15 Long story short, #EVM is designed so that the end-user is never 100% certain that their investment is safe, while #radix is the opposite.

11/15 On #radix, tokens behave similar to how a physically minted coin would behave. No one can take your coins if they don't have physical access to your wallet.

12/15 In conclusion, investing in #cryptocurrencies can be a risky business, especially with the prevalence of #rugpulls, malicious tokens, and rebase scams. However, #Radix offers a safe alternative, with its native asset structure and the impossibility of hidden mints.

13/15 Investing in #Radix altcoins(post #smartcontracts) means that you can be confident that your investment is secure. However, always be cautious when investing in cryptocurrencies and do your research.

14/15 If something is unclear from this thread, or if you have any questions, feel free to ask! We’re here to help, educate, and provide tools for safe investing in cryptocurrencies.
#investmentsafety #cryptocurrencyinvesting #rugpulls #rebase

15/15 Link to the mentioned reddit thread:
old.reddit.com/r/CryptoCurren…