Presale (Rug-pulling Mechanic)

There are many ways to trick people. In this article we focus on presales. Funds get kept by the team instead of being added to liquidity or spent on other promised things like buybacks or marketing.

When it comes to presales, the community is divided into multiple fractions. Some people are ok with decentralised presale plattforms, where everyone gets listed and funds will always end up in a random devs wallet before being added to liquidity. Many people only use trusted launchpads who exclusively accept "legit" teams.

One of the first big presale platforms on the "Binance Scam Chain" was Bounce. Bounce is a scammer paradise because 100% of presale funds go into the team wallet directly, allowing people to rug an entire presale and never add liquidity.

After loosing tons of BNB people slowly realised that devs can not be trusted with presale funds, and that funds should be locked instantly. Thats where dxsale came into play. When hosting a token presale on their website a minimum of 30% and up to 100% of funds are auto-locked in liquidity, never even touching the devs hands.

However even on dxsale its very likely to get rugged. If scammers can't run away with 100% they are still happy with 70%. Often they will try to disguise the huge amount of funds they don't lock by saying things like "1% goes to dev, 20% goes to marketing and 9% goes to team". That way they already have an easy explanation for claiming 30%. The other 40% are often other sketchy excuses. Also the LP Token lock is not permanent and they will eventually remove liquidity and/or sell all team funds.

Sometimes they will sell "marketing funds" slowly, so no one notices. This is called a slow rug. Another tactic is to disguise team funds in other wallets, hoping no one finds out how much they really own and starts talking about it in their Telegram group.

3 conditions had to be fulfilled for a successful $SAFERUG presale:

  1. No liquidity lock

  2. No legitimacy required

  3. Deflationary reflect tokens allowed

After searching for a fitting presale platform and almost giving up, we luckily discovered that Bounce allows reflect tokens, even tho they say they don't. Bounce is decentralised, so they probably can't even stop us.