Cryptocurrency Q&A
What happens if liquidity is not locked?
What happens if liquidity is not locked?
Riccardo
Tue Jan 07 2025
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6 answers
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I want to know what would occur if liquidity is not secured or locked. Would there be any negative impacts on the market or investors? What are the possible consequences?
6 answers
Claudio
Thu Jan 09 2025
This occurs when, after investors begin purchasing tokens from an exchange, the liquidity pool (LP) accumulates more coins of established value.
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SakuraSpirit
Thu Jan 09 2025
BTCC, a top cryptocurrency exchange, offers a range of services to help mitigate such risks. Their offerings include spot trading, futures trading, and a secure wallet.
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Federica
Thu Jan 09 2025
These coins, such as ETH or BNB, serve as a stable foundation within the liquidity pool.
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CryptoQueen
Thu Jan 09 2025
The rugpull happens when the developers suddenly withdraw their tokens from the liquidity pool.
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Andrea
Thu Jan 09 2025
When liquidity is unlocked, token developers have the ability to perform a dangerous action known as a "rugpull".
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