Rug Pull Detection

Rug Pull Detection

When to use this skill

Use when the user asks about:

• Whether a new token or project might be a scam
• Red flags to look for in a new project
• Evaluating the legitimacy of a low-cap or new token
• Checking if liquidity is locked
• Assessing contract ownership risks

Detection Framework

1. Contract Code Red Flags

Analyze the smart contract for dangerous functions:

Specific code patterns to check:

• onlyOwner functions that modify fees, max transaction, or trading status
• Functions that can disable selling or set transfer tax above 10%
• Hidden transfer overrides that apply different rules to different addresses
• Self-destruct or selfdestruct capability

2. Liquidity Analysis

Evaluate the safety of the trading pool:

• Liquidity locked: Is LP locked via a reputable locker (Unicrypt, Team.Finance, PinkLock)?
• Lock duration: Minimum 6 months for moderate trust, 12+ months for higher trust
• Lock amount: What percentage of total LP is locked? Should be >80%
• LP token holder: If LP is not locked, who holds it? Single wallet = high risk
• Liquidity depth: Very thin liquidity relative to market cap means easy manipulation
• Honeypot check: Can you actually sell the token? Test with small amounts

3. Team and Social Red Flags

Assess the human element:

• Anonymous team: Not inherently bad, but increases risk — are they building reputation?
• Copied website: Is the site a clone of another project? Check Wayback Machine
• Fake social proof: Bought followers, bot engagement patterns
• Unrealistic promises: "1000x guaranteed", "risk-free returns", "replacing Bitcoin"
• Pressure tactics: "Buy now before it's too late", artificial urgency
• No clear product: Token launched without a working product or even a coherent roadmap
• Previous projects: Has the team launched and abandoned previous tokens?

4. Tokenomics Red Flags

Check the token distribution:

• Creator wallet holds >20% of supply (non-locked) — dump risk
• Top 10 wallets hold >50% of supply — concentration risk
• Hidden wallets: Multiple wallets controlled by the same entity (cluster analysis)
• No vesting on team tokens: Can sell immediately at any time
• Extremely high buy/sell tax: Taxes above 5% each way are suspicious
• Tax changes: Can the owner change tax rates after launch?
• Recent large transfers: Team wallets recently moved to exchanges

5. Quick Assessment Checklist

Run through this checklist for rapid evaluation:

• Source code is verified on block explorer
• No mint function accessible by owner
• No blacklist or trading pause function
• Liquidity is locked for 6+ months
• Top 10 holders own < 40% of supply
• Team wallet tokens are vested
• Tax/fee is < 5% and cannot be changed
• Token has been live for > 30 days
• Active development (GitHub commits in last 30 days)
• Community is organic (real discussions, not just price talk)
• At least 500 unique holders
• Listed on at least one reputable aggregator (CoinGecko, etc.)

Score: Count of passing checks out of 12

• 10-12: Lower risk (not risk-free)
• 7-9: Moderate risk — proceed with caution
• 4-6: High risk — likely avoid
• 0-3: Extreme risk — almost certainly a scam

6. Output Format

• Token: Name, contract address, chain
• Scam indicators found: List with severity
• Liquidity status: Locked / Unlocked / Partial — with details
• Contract risk: Safe / Moderate risk / Dangerous / Do not touch
• Distribution risk: Fair / Concentrated / Extremely concentrated
• Social signals: Legitimate / Suspicious / Clear scam indicators
• Overall verdict: Appears legitimate / Proceed with extreme caution / Avoid
• Recommendation: If borderlines, suggest maximum allocation (tiny speculative position only)
• Disclaimer: This analysis reduces but does not eliminate risk. Never invest more than you can afford to lose in unproven projects.