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The Hashrate
Glossary

Rug Pull Beginner

A rug pull is a fraud in which a project's operators abandon it and take investors' money, typically by draining liquidity.

Warning signs include anonymous teams with no verifiable history, guaranteed returns, unaudited contracts, and pressure to buy quickly before an artificial deadline.

The mining-adjacent version is the fraudulent cloud-mining contract, which sells hashrate that does not exist.

This definition is educational and not financial advice. Crypto is volatile and high-risk — always do your own research.
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