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Crypto is ridden with rugpulls. It’s extremely hard to find a diamond in the rough and you’re going to lose money doing it. Look for projects that focus on buil

Crypto is ridden with rugpulls. It’s extremely hard to find a diamond in the rough and you’re going to lose money doing it. Look for projects that focus on building community rather than pumping and dumping. I’ve been dabbling in DogeBonk and it’s funny how other “bonk” coins keep getting rug pulled around it while DogeBonk keeps on going

chefandy 5y ago
Do you have an example of a particularly well-done rug pull that would help this layman understand the scam better? I totally understand why folks fell for Bernie Madoff's scheme. He had a brick and mortar office, a stellar reputation, and a relatively well-known face. Revealing his scam destroyed his life and he couldn't have easily disappeared into thin air before facing consequences. His clients are no better off, but the consequences alone would keep the vast majority of investment managers from blatant cash grabs. Conversely, the caveat emptor nature of cryptocurrency and the ubiquity of scammers would stop me investing a cent based solely on a website, PR, and/or social media buzz— none of which require anything beyond a small amount of initial capital. Do their techniques go beyond that? Were any anchored to well-known people or organizations?
- tjungblut 5y ago
  Checkout what squid (from the squid game series on netflix) did very recently.
  - deleted 5y ago
    [deleted]
  - chefandy 5y ago
    Edit— this was in response to an earlier comment that wouldn't stick to the thread for some reason. As a layman, I asked if a rug pull had ever happened in a coin run by someone with real credibility. Someone responded saying I should check out the Squid rug pull. Not sure if they were using that as an example of a currency run by credible people, but it seemed so. Here's my answer. So I looked it up— it was just some anonymous people on the internet having nothing to do with Netflix whatsoever, right? I assumed I was just missing the tricky part... people really serially put cash into unvetted ecosystems which you can only assume will behave the way anonymous developers say it will, indefinitely? It's all run by who would almost certainly be better off themselves if they just took the cash and ran? And they assume that windfall profits are a likely outcome for this behavior? Unless I'm missing something, that's not investing— that's a gambling addiction. And at least the small time bookie who doesn't hide his organized crime ties has a professional reputation at stake if he doesn't pay out.
hammyhavoc 5y ago
What are you defining as a "community"? A Discord/Telegram group, and shitposting memes on Twitter with a bit of engagement from other marks?

chefandy 5y ago

Do you have an example of a particularly well-done rug pull that would help this layman understand the scam better? I totally understand why folks fell for Bernie Madoff's scheme. He had a brick and mortar office, a stellar reputation, and a relatively well-known face. Revealing his scam destroyed his life and he couldn't have easily disappeared into thin air before facing consequences. His clients are no better off, but the consequences alone would keep the vast majority of investment managers from blatant cash grabs. Conversely, the caveat emptor nature of cryptocurrency and the ubiquity of scammers would stop me investing a cent based solely on a website, PR, and/or social media buzz— none of which require anything beyond a small amount of initial capital. Do their techniques go beyond that? Were any anchored to well-known people or organizations?

tjungblut 5y ago
Checkout what squid (from the squid game series on netflix) did very recently.
- deleted 5y ago
  [deleted]
- chefandy 5y ago
  Edit— this was in response to an earlier comment that wouldn't stick to the thread for some reason. As a layman, I asked if a rug pull had ever happened in a coin run by someone with real credibility. Someone responded saying I should check out the Squid rug pull. Not sure if they were using that as an example of a currency run by credible people, but it seemed so. Here's my answer. So I looked it up— it was just some anonymous people on the internet having nothing to do with Netflix whatsoever, right? I assumed I was just missing the tricky part... people really serially put cash into unvetted ecosystems which you can only assume will behave the way anonymous developers say it will, indefinitely? It's all run by who would almost certainly be better off themselves if they just took the cash and ran? And they assume that windfall profits are a likely outcome for this behavior? Unless I'm missing something, that's not investing— that's a gambling addiction. And at least the small time bookie who doesn't hide his organized crime ties has a professional reputation at stake if he doesn't pay out.

hammyhavoc 5y ago

What are you defining as a "community"? A Discord/Telegram group, and shitposting memes on Twitter with a bit of engagement from other marks?