Relying On Data Analytics Can Help You Avoid Rug Pulls And Scams

A sizable portion of this world’s population has grown to love trading, buying and selling with all kinds of cryptocurrency assets as well as NFTs. This makes sense too as after all, who wouldn’t want to be a part of one of the fastest-growing industries of all time and earn a lot of money while doing so? However, with such popularity also comes the risk of investing in certain cryptocurrency projects which may turn out to be disingenuous and fraudulent. Rug pulls A ‘rug pull’ occurs when developers steal funds from investors and quit the project after a large sum has been allotted to the fraudulent DeFi project. These projects are typically established by individuals with ulterior motives and evil intent. One of the more recent famous rug pulls was that of the ‘Squid Game (SQUID)’ cryptocurrency, a project which looked to cash in on the massive success experienced by a Netflix show of the same name. After successfully drawing in numerous investors, it did not take long for rug pull reports to start coming in. Therein lies the problem though, as a large number of investors usually prefer to ‘get rich quick’ and so end up investing in projects which are based solely on the hype, with this usually resulting in substantial losses. Nowadays, the NFT sector is experiencing similar problems, as many individuals involved with NFTs often invest in projects that they know next to nothing about. Some of the more well-known NFT rug pulls...