RISKS & SECURITY
Exit Scam
Definition
An exit scam is when project founders disappear with investors' money after raising funds, either through ICOs, presales, or by draining protocol treasuries.
Example
Example
A project raises $10M through token sales, then founders delete social media accounts and transfer all funds to personal wallets.
Risks to Consider
Risks
- Complete fund loss
- No recovery options
- Damaged ecosystem trust