GlossaryIntermediate
Honeypot Scam
A malicious smart contract designed to let victims buy in but prevent them from selling.
A honeypot scam is a malicious token or smart contract deliberately designed to allow purchases but block or restrict subsequent sales, trapping a victim's funds after they buy in.
Reviewing a contract's actual code or using a contract-analysis tool before buying an unfamiliar, newly launched token can help identify this pattern.
Examples
- A honeypot token might allow a small test purchase to succeed while blocking any attempt to sell.
- Reviewing a token contract for sell restrictions before buying is a practical honeypot precaution.