Since Bitcoin was launched in 2009, the decentralized finance (DeFi) and cryptocurrency world has experienced a massive launch of new tokens. However, this has also led to the rise of scam projects and fraudulent activities like rug pulls. Thankfully, platforms like Pump.fun, PinkSale, and Unicrypt are saving the day.
By ensuring that only safe and trusted altcoins like memecoins are launched, creators and traders can invest in crypto with great peace of mind. In this article, we will be exploring how Pump.fun, PinkSale, and Unicrypt handle token launches safely. We will also examine their unique tools and differences in their approach. But first, let’s understand what a token launch is and why its safety is important.
KEY TAKEAWAYS:
- Platforms like Pump.fun, PinkSale, and Unicrypt are preventing crypto frauds like rug pulls by ensuring safer token launches.
- Pump.fun implements measures like smart contracts vetting, liquidity pool locking, and community support.
- PinkSale secures token sales through KYC verification, whitelisting, and community governance.
- Unicrypt launches tokens safely by ensuring liquidity locking, transparent project information, and presale smart contracts audit.
What Is a Token Launch, and Why Must It Be Safe?
A token launch is the process of creating, promoting, and distributing a new crypto coin or token to the public. Usually, it involves an initial coin offering (ICO), initial DEX offering (IDO), or token presale. Safety during a token launch is important because it proves the project’s legitimacy, which leads to growth as it attracts more serious investors in the long run. Additionally, safety is crucial to protect people’s investment in the newly released token.
How Pump.fun Launches Its Tokens
Pump.fun is a user-friendly platform that is built on the Solana blockchain. The primary selling point of this marketplace is that creators can launch and promote a coin on Pump.fun with little or no technical knowledge. Some ways that it ensures a token is launched safely include:
- Low transaction fees and fast processing speed: Because it operates on Solana, this platform allows for low fees and fast transactions. As such, there is less risk of network congestion and frontrunning attacks. With a token approval done quickly, its launch is more secure.
- Smart contracts vetting: While you can easily launch tokens on Pump.fun without coding knowledge, security protocols like a token’s smart contract audit are done by Solana to minimize risks. However, it is important to note that because the smart contract audit is not done formally by Pump.fun, some vulnerabilities in a project can go unnoticed.
- Community-driven support: Pump.fun has an active community, which allows for decentralized oversight. Some people can easily participate in community discussions and share feedback, and a suspicious project can be quickly identified and reported.
- Liquidity pool locking: In this marketplace, once the liquidity pool is added for a token, it remains locked for a certain period. This is done to prevent the possibility of rug pulls — where developers remove the liquidity after the token is launched.
How PinkSale Ensures Safe Token Launch
The PinkSale launchpad offers multi-chain support, which includes Ethereum, Binance Smart Chain (BSC), and Polygon. Its goal is to raise funds for a token through its presale while protecting the interest of investors. Here is how is the token sales securely:
- Liquidy locking: This is done to prevent a situation where developers pump a token and then suddenly pull out their funds. They then abandon the project, thus leaving investors with worthless tokens.
- Smart contracts audit: PinkSale uses third-party audit services like SolidProof and Certik to ensure tokens are free from vulnerabilities that can be exploited.
- KYC verification: Although it is optional, PinkSale provides a KYC verification service to identify the profile of the developers behind a project.
- Community governance: Token holders can make some decisions relative to the project to prevent the developers from monopolizing decision-making.
- Whitelist: Access to presale is restricted to approved investors to prevent the risk of malicious token holders.
How Unicrypt Secures Token Launches
Unicrypt is commonly used across blockchains like Ethereum, BSC, and Polygon. Because of its comprehensive security features, it ensures trust between a token’s developers and investors. Check out how Unicrypt does so below:
- Liquidity locking: By locking liquidity, developers cannot successfully carry out a rug-pull crypto scam.
- Presale smart contracts audit: developers can list their tokens on Unicrypt’s presale platforms. Here, projects undergo third-party smart contract audits to ensure their codes are from security loopholes.
- Decentralized governance: Decisions are not made by a centralized authority. Rather, they are made transparently by the token holders.
- Transparent project information: A detailed information about each project is provided on the platform. This includes liquidity lock status and audit results. Thus, investors are well informed about the project they are putting their money into.
Conclusion
Now that you understand how Pump.fun, Pinksale, and Unicrypt handle token launches safely, you can make an informed decision on the right platform for you. Each of them has unique features and protocols that protect everyone, be it a token developer or an investor. By prioritizing security, these platforms are indeed contributing to a healthier and more transparent crypto world.
