Lookonchain APP

App Store

Report: Rug Pull Incidents in the Crypto Space Have Decreased, but Their Impact Has Grown

2025.04.18 14:25:11

On April 18th, according to a report by Cointelegraph. Based on the latest report from the blockchain analytics platform DappRadar, there were 21 "Rug Pull" incidents in the early part of 2024. In contrast, there were only 7 incidents from 2025 to the present. This indicates a declining frequency year by year. However, since the early 2025, the Web3 ecosystem has lost nearly $6 billion due to such incidents. 92% of this loss was attributed to the collapse of Mantra's OM token (the token's founder denies this was a "Rug Pull"). In contrast, the total loss from "Rug Pull" incidents in the same period of 2024 was $90 million. DappRadar analyst Sara Gherghelas pointed out that although the frequency of such incidents has decreased, their destructiveness has increased. Scams are becoming more sophisticated and are often orchestrated by professional teams. The nature of these incidents is also evolving. Many incidents in the first quarter of 2024 originated from DeFi protocols, NFT projects, and Meme coins. While in the same period of 2025, they mostly occurred in the Meme coin space. Gherghelas also warned that a sudden surge in the number of active wallets, a high transaction volume but low user activity, unverified smart contracts, limited GitHub activity, anonymous developer teams, or projects with a sudden spike in DApp popularity could all be warning signs of a "Rug Pull."
Relevant content

Variational unveils its tokenomics: genesis airdrop accounts for 32%, with a projected Q4 token generation event (TGE).

Arbitrum-based derivatives protocol Variational has unveiled the tokenomics for its VAR token: 32% of the total token supply will be allocated to a genesis airdrop, distributed proportionally to users’ points, with 100% unlocked at the Token Generation Event (TGE); 18% goes to the ecosystem reserve, managed by the foundation; and 50% is reserved for the team and investors, locked for 12 months post-TGE before linear unlocking over a minimum of 3 years. The team plans to hold the TGE in the fourth quarter (Q4), with 150,000 points issued weekly until then. A minimum of 1 point is required to claim the airdrop, and unclaimed airdrop allocations will be burned. Additionally, 100% of the protocol’s revenue will be used to buy back and burn VAR tokens.

5 minutes ago

Whale Buys 159,698 $UNI for 1.5M $USDC as Price Drops

After $UNI dropped, whale 0xd42B spent 1.5M $USDC to buy 159,698 $UNI at $9.39 in a single trade.

5 minutes ago

A prominent trader noted that during the previous bull market, Bitcoin’s maximum pullback before its all-time high (ATH) was 22%, adding that this cycle’s pullback should likely not exceed 15%.

Prominent trader Killa posted that during the previous crypto bull cycle, Bitcoin’s largest pullback before hitting its all-time high (ATH) was 20-22%, meaning the leading cryptocurrency never corrected more than 22% while rallying toward its ATH. Applying the same proportional logic to the current cycle, a relatively mild bear market (which saw Bitcoin fall 54% this cycle, a far shallower decline than prior downturns) should result in a similarly moderate bull market pullback, putting this cycle’s expected major correction in the roughly 10-15% range. Killa argues mathematically that this means buying dips with 4x leverage should be relatively safe as Bitcoin advances toward its $126,000 peak, provided traders do not go long at the top of each market phase. A BTC-focused quantitative trader, Killa correctly predicted the peak of this bull market in May 2025 and has over 200,000 followers on X. In mid-April, he shorted Bitcoin at $74,688, then flipped to a long position during the broad market selloff on June 5.

5 minutes ago

OTC Whale 0x8c58 Sells 42,005 $ETH ($111.89M) as Market Drops

As the market drops, OTC whale 0x8c58 sold 42,005 $ETH ($111.89M) and now has 9,996 $ETH ($26.8M) left.

5 minutes ago

Bankless Co-founder: ZEC Is Similar to 2021 ETH, BTC and ETH Unlikely to See Another 10x Growth

Bankless co-founder David Hoffman has published an article noting that the crypto market occasionally sees instances where a single asset absorbs capital flows from Bitcoin holders. In 2021, Ethereum (ETH) experienced a similar phenomenon, and in 2026, Zcash (ZEC) is mirroring that trend. Leveraging its privacy and anti-quantum narratives, ZEC has successfully drawn some Bitcoin holders to treat it as a "just in case" hedge, fueling a sharp surge in its market capitalization. The actual driver behind ZEC's rise is spillover from Bitcoin (BTC) wealth, not fresh capital. Separately, NEAR is absorbing relatively weak "smart contract buy demand" in 2026. Hoffman further argues that BTC and ETH can no longer achieve 10x growth, with more innovation being captured by new projects such as Hyperliquid and Ethena, as well as traditional finance, which could limit the overall expansion of the crypto industry. Earlier reports indicate that in early June, Hoffman fully disclosed on X the allocation of funds following his ETH liquidation: VVV (Venice AI's governance token), NEAR, ZEC, LIT, and HYPE.

5 minutes ago

Hyperliquid burned over 34,000 HYPE tokens in the past 24 hours, valued at approximately $3.26 million.

According to Onchain Lens monitoring, Hyperliquid purchased and burned 34,280 HYPE tokens over the past 24 hours at a volume-weighted average price (VWAP) of $95.25, totaling roughly $3.26 million. Data shows that the cumulative amount of HYPE burned has reached 48.89 million tokens, valued at approximately $451 million, accounting for 4.89% of its maximum supply. The protocol’s revenue over the past 30 days stood at $60.58 million.

5 minutes ago

Popular tokens

BitcoinEthereumHyperliquidSolanaTRONBNBTetherAaveXRPPepeFartcoinOndoJupiterUniswapBonkPendleEthenaArbitrumAvalancheLidoChainlinkPolygonDogecoinCardano