All terms
When a project team abandons it and takes the money.
A rug pull is theft dressed as a launch. The team builds hype, attracts liquidity, then removes it or dumps their allocation, leaving holders with a worthless token they cannot sell.
Hard rugs are outright theft, often with a hidden function in the contract. Soft rugs are slower: the team simply stops working and quietly sells.
Warning signs include anonymous teams with no track record, unlocked liquidity, a large team allocation and a contract that has not been audited.
That a rug pull is always sudden. Some are, and many are slow: liquidity thinned over weeks, the team going quiet, the roadmap sliding, insiders selling into every rally. By the time the obvious moment arrives most of the money has already left.
Common questions
Can you spot a rug pull before it happens?
Is there any way to get money back after a rug pull?
Where this comes up on the site
The guides that actually use this word, rather than a list of everything we have written.
Where to go next
More security terms
Want this explained out loud?
Some of these land faster in conversation than in writing. Sessions are one to one and you can ask anything, including the things that feel too obvious to ask.