How to avoid ‘rug pulls’, the latest cryptocurrency scam


The scam, which gets its name from the expression “pulling the rug out”, involves a developer attracting investors to a new cryptocurrency project, then pulling out before the project is built, leaving investors with a worthless currency. It’s part of a long history of investment schemes. — AP

A new type of scam has emerged in the hype-filled world of cryptocurrency: the “rug pull”.

The scam, which gets its name from the expression “pulling the rug out”, involves a developer attracting investors to a new cryptocurrency project, then pulling out before the project is built, leaving investors with a worthless currency. It’s part of a long history of investment schemes.

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