What is LagPull? The essence and evolving threats revealed by the first survey of 2025

A rug pull is a fraudulent act where project initiators run away with investors’ funds. This threat within the cryptocurrency ecosystem, which used to occur frequently, is now about to change significantly. The latest investigation by blockchain analysis platform DappRadar has revealed the astonishing reality behind it.

Rug pull incidents decrease, but the scale of damage skyrockets

At the beginning of 2024, there were 21 rug pull incidents, but since early 2025, the number has dropped to just 7. At first glance, it seems that the cryptocurrency market has become safer. However, this decline masks another problem.

The amount of damage has increased dramatically. Since early 2025, the Web3 ecosystem has suffered losses of approximately $6 billion due to such scams. 92% of this is attributed to the massive collapse of Mantra’s OM token, and while the token’s founders deny that this event was a rug pull, it is a blow to the victims nonetheless.

In comparison, the damage amount in the same period in 2024 was about $90 million. In other words, the scale of damage has expanded approximately 67 times in just one year.

The form of scams has changed significantly compared to 2024

DappRadar analyst Sarah Gergelas points out, “While the frequency of incidents has decreased, their destructive power has increased, and scam tactics have become overwhelmingly more complex.” Most of these scams are planned by professional teams, and their nature is rapidly evolving.

In Q1 2024, scams occurred across a wide range of areas including DeFi protocols, NFT projects, and Meme coins. However, by the same period in 2025, they are mainly concentrated in the Meme coin sector. Scammers are also responding sensitively to market trends, shifting to areas where they can maximize damage more easily.

Six warning signs to avoid rug pull damages

Gergelas further pointed out several risk indicators that suggest a potential rug pull. Projects exhibiting multiple of the following characteristics should be approached with particular caution:

1. Unexplained wallet activity — The number of active wallets is increasing sharply without explanation
2. Discrepant transaction data — High transaction volume but extremely low user activity
3. Unverified code — Smart contracts have not been verified by third parties
4. Stagnant development activity — Limited activity on GitHub
5. Opaque team structure — Development team remains anonymous
6. Rapid proliferation of DApps — The number of DApps within the project is increasing at an abnormal pace

All of these could be traps designed by professional scam groups to more cleverly gather funds.

A rug pull is not just a past threat but an ongoing, evolving danger. While the number of incidents has decreased, the impact of each single event has become enormous. Investors must be more vigilant than ever in this critical era.