Solana Holders Under Attack As Scammers Exploit New Rug Pull Method

A brand new methodology utilized by fraudsters has emerged, catching Solana (SOL) holders off guard on the Pump.enjoyable platform, resulting in vital losses. Going by the pseudonym “Brief Type King”, a crypto researcher sheds mild on this new development and exposes the ways utilized by these fraudsters. 

Rising Menace To Solana Holders

A latest social media put up by Brief Type King reveals that the scammers behind widespread schemes have devised a brand new methodology that manages to fly underneath the radar of most individuals’s analysis processes, making it significantly efficient and detrimental to unsuspecting Solana holders.

In accordance with Brief Type King, scammers make use of “well-crafted” meme cash and “skilled groups” to create the phantasm of an extraordinary coin, deceiving even seasoned merchants. 

The researcher cites the instance of NOFEAR, a latest token that garnered lots of consideration because of endorsements from key opinion leaders (KOLs). Nonetheless, the challenge turned out to be a rip-off, and its worth plummeted after the group manipulated the availability.

Given the rising reputation and customary use of those crimes to determine potential rug pulls, Brief Type King highlights a number of pink flags traders ought to be vigilant about. 

First, a scarcity of feedback or engagement within the “thread” part underneath the coin on the Solana-based meme coin buying and selling platform Pump.enjoyable signifies that the coin was not listed for lengthy earlier than finishing its binding curve, serving as an preliminary indication of malicious intent. 

Moreover, Brief Type King notes that the “Trades” part on Pump.enjoyable platforms holds essential data, typically ignored by 90% of traders as soon as the coin hits main decentralized exchanges (DEXs). 

Uncommon shopping for patterns, with no corresponding promote orders and restricted buying and selling historical past, also can point out a rug pull in progress. Furthermore, the absence of earlier Pump.enjoyable cash or any related expertise serves as a useless giveaway {that a} coin could also be weak to rug pulls. 

How Fraudsters Outsmart Platforms Like Bubblemaps

The researcher additionally claims that fraudsters typically manipulate their profiles to keep away from detection by platforms similar to Bubblemaps, an auditing device for decentralized finance (DeFi) tokens and non-fungible tokens (NFTs). 

They allegedly make use of “washing” companies like Solnado or fund their accounts from a number of “unlinked centralized exchanges,” creating the phantasm of separate people. 

Brief Type King highlights that these accounts usually present minimal exercise till they mix all of the funds right into a single pockets to lastly execute the rug pull, leaving largely Solana traders with substantial losses.

On the time of writing, SOL is buying and selling at $162, erasing all losses in all time frames after hitting a two-month low of $121 in early July. At the moment, the fifth largest cryptocurrency in the marketplace is posting features of 5% and 10% within the 24-hour and month-to-month time frames. 

Featured picture from DALL-E, chart from TradingView.com