🌀Security firm SlowMist reported 58 Rug Pull incidents in 2024, resulting in a total loss of $106 million. The zkSync network suffered the largest single loss of $36.95 million, while BSC led in the number of cases with 28 incidents. Notable victims included ZKasino and Essence Finance.
🌀One of the most infamous cases involved SHARPEI, where fraudsters used deceptive visuals and false claims to siphon $3.4 million in liquidity, causing the token’s price to plummet by 96%.
🌀Experts point out that FOMO (fear of missing out) and inadequate project due diligence make Rug Pulls a relatively easy and effective scam. Investors are advised to pay close attention to project documentation and the reputation of development teams.
🌀The rising number of such cases underscores the need for stricter regulation and improved financial literacy within the crypto space.