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Showing posts from April, 2025

HODL

  HODL  HODL is a cryptocurrency slang term originating from a 2013 typo of the word "hold" in a Bitcoin forum post, where a user declared they were "HODLing" their Bitcoin instead of selling during a volatile market[2][5][6]. It has since evolved into a core investment philosophy meaning to hold onto crypto assets long-term despite price fluctuations, often interpreted as "Hold On for Dear Life"[2][5][6]. The HODL strategy reflects a commitment to weathering the extreme volatility of cryptocurrencies by avoiding panic selling and focusing on potential long-term gains[2][5][6]. It contrasts with traditional buy-and-hold strategies used in stocks, as cryptocurrencies are more speculative and volatile, making HODLing a higher-risk but potentially rewarding approach[5]. People HODL because they believe in the transformative potential of crypto, want to avoid the difficulty of market timing, and may benefit from tax advantages on long-term holdings[5]. The ter...

Rug Pull (Crypto)

What is a rug pull in crypto? A rug pull in crypto is a scam where the developers of a cryptocurrency project raise funds by selling tokens, then suddenly abandon the project and withdraw all the liquidity, leaving investors with worthless tokens. This is like "pulling the rug out" from under investors, causing the token's value to crash abruptly[1][4][7]. There are different types of rug pulls: - **Liquidity Pulls:** Developers remove liquidity from a token pool, crashing its price[1][5]. - **Fake Projects:** Scammers create fake projects, collect investments, then disappear[1]. - **Pump and Dump:** Fraudsters hype the token to inflate its price, then sell off their holdings quickly[1][5][7]. - **Team Exit:** The project team suddenly disappears, leaving no support and collapsing the token[1][7]. - **Limiting Sell Orders:** Developers restrict selling so only they can sell, then dump tokens, leaving others stuck[5][7]. Rug pulls are common in decentralized finance (DeFi)...