85% of crypto rug pulls in Q3 didn’t report audits: Hacken

Cryptocurrency rug pulls are not too difficult to spot by investors, as the majority of such scams usually share distinct and visible features, according to a new report.

Blockchain security auditor Hacken released its latest security insights report on Oct. 25, aiming to spot the trends in Q3 crypto hacks and evaluate how affected projects approached security.

The report paid specific attention to

“This desire for substantial returns in a short timeframe often causes individuals to overlook red flags and impulsively dive into investments,” Budorin said, adding:

“Scammers are well aware of this, and they are very good at mimicking successful projects. […] Scammers frequently refer to thriving projects, intensifying the FOMO on the next big opportunity.”

Hacken’s CEO also stressed that the process of investing in cryptocurrency is a “no-brainer for many users,” requiring “only a few clicks.” According to the executive, this fact can also lead to impulsive decision-making.

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