Understanding “Soft Rugpulls”: When the Team Quietly Walks Away

Understanding “Soft Rugpulls”: When the Team Quietly Walks Away

🚨 What Is a “Soft Rugpull”?

A soft rugpull happens when project founders or developers don’t vanish overnight, but gradually abandon the project — leaving investors with worthless tokens.
Unlike a hard rug (where liquidity is drained immediately), a soft rug is slow, quiet, and manipulative.


🧩 Common Signs of a Soft Rugpull

  1. Team stops updating the community on progress.

  2. Roadmap milestones keep getting delayed or quietly removed.

  3. Marketing and partnerships suddenly go silent.

  4. Developers sell their tokens gradually over time.

  5. Community managers disappear from Telegram or Discord.


💀 Example: The “SafeVault” Token (2021)

SafeVault launched as a DeFi project claiming to provide “auto-yield” rewards to holders.
At first, it gained huge traction — active devs, influencers promoting, and thousands of holders.
But within months:

  • No new updates.

  • Website hosting expired.

  • Dev wallets began offloading tokens slowly.

By the time holders realized, the price had dropped over 98%, with no clear scam event — just abandonment.
👉 That’s a soft rug.


🧭 How to Protect Yourself

✅ Check for long-term developer commitment (GitHub activity, LinkedIn presence).
✅ Prefer multi-signature wallets for project funds.
✅ Watch for consistent transparency in progress updates.
✅ Use verification tools like RugScamAlert.com to assess risk.

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