85% of crypto rug pulls in Q3 didn't report audits: Hacken - Learn about Web 3.0 and how to invest in it.
85% of crypto rug pulls in Q3 didn’t report audits: Hacken

Investing in Web 3.0

Cryptocurrency rug pulls are a common occurrence in the market, and investors can easily spot them due to their distinctive and visible features, according to a recent report from blockchain security auditor Hacken.

In its Q3 security insights report, Hacken analyzed the trends in crypto hacks and the ways affected projects responded to them. Rug pulls, which involve a team pumping their token before withdrawing liquidity, were the most common type of exploit, accounting for over 65% of all hacks in Q3.

The prevalence of these scams is largely attributed to token factories that produce fraudulent tokens on a large scale. As such, it is important for investors to understand how web 3.0 is different from web 2.0 and how to invest in web 3.0 in order to avoid these scams.

To gain a better understanding of web 3.0, it is important to explore its history, from web 1.0 to web 2.0 and finally to web 3.0. Additionally, investors should be aware of the ai stories and how to build a web 3.0 website.

Investing in Web 3.0: Tips and History

With the prevalence of cryptocurrency rug pulls, Hacken has provided tips on how to prevent them based on its Q3 observations. One of the most important ways to assess a project is to search for an independent third-party audit. Of the 78 rug pulls Hacken examined, only 12 reported having completed any kind of audit.

Although audits can provide protection from scams, users should be aware that an audit alone is not always enough. Hacken co-founder and CEO Dyma Budorin noted that investors often ignore potential red flags due to the fear of missing out (FOMO). For example, the success of memecoins such as Pepe (PEPE) and Shiba Inu (SHIB) has led to investors hoping for similar returns.

To understand the different aspects of investing in Web 3.0, it is important to have a basic knowledge of the history of Web 1.0, 2.0, and 3.0. Additionally, it is helpful to know how to build a Web 3.0 website and how to invest in Web 3.0. By understanding the differences between Web 2.0 and Web 3.0, investors can make informed decisions regarding their investments.

“Investing in cryptocurrency is a “no-brainer for many users,” according to Hacken’s CEO, as it requires “only a few clicks”. However, this ease of access can lead to impulsive decision-making and an urge for high returns in a short time-frame, as Budorin pointed out.

Understanding the differences between web 1.0, 2.0 and 3.0 is essential for anyone looking to invest in web 3.0, as it is a relatively new technology. It is also important to understand how to build a web 3.0 website and the history of web 3.0.

Moreover, AI stories can provide a useful insight into the world of web 3.0 and how to invest in web 3.0.

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