Rug Pull Prevention

How Spawned's design prevents common scams and protects token supporters.

What is a Rug Pull?

A "rug pull" is when a project creator abandons their project after taking supporters' funds. Common tactics include removing liquidity, dumping tokens, or simply disappearing. Spawned is designed to make these tactics impossible or impractical.

How We Prevent Rugs

Locked Liquidity

Problem:

Creator removes trading liquidity

Our Solution:

On graduation, LP tokens are burned. Liquidity is locked forever.

Bonding Curve

Problem:

Creator sells massive amounts, crashing the price

Our Solution:

The bonding curve means every sell moves the price. Large dumps are economically punished.

No Pre-mines

Problem:

Creator holds huge allocation, dumps on community

Our Solution:

Fair launch only. No presales, no insider allocations.

Transparent Fees

Problem:

Hidden fees drain value

Our Solution:

All fees are on-chain and visible. 1.25% per trade, clearly split.

Immutable Contracts

Problem:

Creator changes rules after launch

Our Solution:

Smart contracts cannot be modified. Rules at launch are rules forever.

What We Can't Prevent

While we prevent technical rugs, we can't prevent:

• Builders who simply stop working on their project
• Projects that fail despite honest effort
• Market conditions affecting token prices

This is why it's important to support projects you genuinely believe in, not just chase hype.