Since crypto has reached mainstream awareness and subsequently exploded in popularity, cyber criminals have leapt at the opportunity to scam people out of their money.

‘Rug pulls’ are one of the most common ways they go about this. Crypto developers use rug pulls to make money by promoting new projects and then disappearing with millions or even hundreds of millions of dollars. This is a common scam, and it can be very profitable.

Chainalysis reports that this type of scam caused victims to lose $2.8 billion in 2021, or 37% of all cryptocurrency scam revenue. That’s a big change: Chainalysis recorded that rug pulls only made up 1% of cryptocurrency scam revenue in 2020.

A crypto that was inspired by Netflix hit show Squid Game dramatically dropped from $2,586 to a penny in November 2021.

There was a promise that an anti-dumping mechanism had been added to the code, making the SQUID token resistant to a sudden fall in value. Supposedly, people who owned tokens could only sell them if they also had the MARBLE token. Yet, the anonymous founders made off with about $3.3 million with pretty much no consequences.

While presales offer an excellent opportunity for investors to get in early on a potentially lucrative coin, they’re also attractive prospects for scammers.

Newcomer Parody Coin (PARO) is currently in its presale stage and is already generating buzz due to its exciting roadmap that gives investors four passive income streams through minting, trading and selling parodies of popular NFTs. Before you make a decision about Parody Coin (PARO), here are some things to think about.

What’s Parody Coin (PARO)?

Designed to tackle the exorbitant prices of some of the NFTs on the market, Parody Coin (PARO) facilitates the minting, trading and access the utility of parodies of popular NFTs. Investors gain four different passive income streams, which include the minting and selling of parodies of NFTs on an open market, staking on the BNB Chain, through the reflection system and ultimately, earning from an extensive number of ‘ParoRewards’.

Additionally, Parody Coin (PARO) is developing its own metaverse, dubbed the Paroverse, which will give users access to a variety of different dApps.

Is there a White Paper for Parody Coin (PARO)?

Yes, and it’s available to view at www.parodycoin.io

Is there Proof-of-Concept?

Almost – as PARO is only in its presale phase, it’s currently in the process of being audited by CertiK – a leading security-focused ranking platform for blockchain protocols and DeFi projects that analyses and monitors them.

According to CertiK’s website, they review the code’s logic utilising a mathematical approach to ensure the programme works as intended. That process flags up any errors or risks, vulnerabilities and verifies the contracts.

Who are the founders of Parody Coin (PARO)?

At the moment, the founders appear to be anonymous, as the white paper makes no mention of the team behind Parody Coin (PARO). While this can potentially be a red flag, there are several reasons why founders may choose to stay anonymous.

Firstly, developers frequently report receiving death threats and abuse over social media.

Secondly, those involved in crypto often become the target of social engineering attacks. This is one of the most viable ways to gain access to someone’s computer or accounts, and can be very effective, even being known to happen to the most experienced and tech-savvy individuals.

Moreover, a lack of anonymity can open up opportunities for personality scams. These involve impersonating the founder of a project or company, or a well-known figure in the space, to persuade unsuspecting investors to hand over their hard-earned money.

For example, a massive Twitter hack in July 2020 affected the high-profile accounts of Elon Musk, Jeff Bezos, Warren Buffet, Coinbase, and Binance.

Maintaining a low profile can help keep the project’s community safe from such attacks.

Hence, as long as a project is CertiK audited and investors do their own research, an anonymous team doesn’t have to be a dealbreaker.

Is Parody Coin (PARO) a Rug Pull?

Parody Coin (PARO) is unlikely to be a rug pull because according to their roadmap, they will be locking liquidity. This is when liquidity pool (LP) tokens are sent to a time-lock smart contract and ownership is relinquished for a set period of time. Developers will not be able to recover funds from the liquidity pool unless they own LP tokens.

What’s the total number of Parody Coin (PARO) Tokens?

The white paper states that before the Initial DEX Offering (IDO) on PancakeSwap, 300 million PARO coins will be pre-mined.

KEYWORDS: Parody Coin, PARO, Tokens, CertiK, PancakeSwap, Cryptocurrency, Crypto, NFT

Subscribe for latest Videos

Disclaimer

Comments expressed here do not reflect the opinions of vanguard newspapers or any employee thereof.