What Is a "Rug Pull" and How Is It Related to Token Approval? ▴ Learn

What Is a “Rug Pull” and How Is It Related to Token Approval?

A "rug pull" is a malicious maneuver where developers suddenly drain all the liquidity from a DEX pool, leaving investors with worthless tokens. It is related to token approval because, in some advanced scams, the malicious contract might trick users into granting an infinite token allowance.

This allows the scammers to drain the users' approved tokens in addition to the liquidity they steal.

How Does a “Rug Pull” Differ from a “Pump and Dump” in the Crypto Space?

How Does the Term ‘Rug Pull’ Relate to Centralized Control in Early-Stage Projects?

What Is a “Rug Pull” in the Context of a Liquidity Pool?

Explain the Concept of “Rug Pull” in Relation to Mutable Contract Ownership