#explain-card A [[Rugpull|rugpull]] is a type of scam in the cryptocurrency world where developers abandon a project and run away with investors' funds. This typically occurs in [[DeFI]] projects where developers create a new token, promote it to attract investors, and then withdraw all the [[Liquidity|liquidity]], leaving investors with worthless tokens. Rugpulls highlight the importance of due diligence and caution when investing in new and unverified projects.