Clamp
It is the arbitrage type of fraud in the crypto world. In this method, a MEV bot buys a coin before you buy. This will impact the price of transactions, and you are forced to buy at high. When your transaction is completed, the bot again sells it very quickly. For example, you have decided to buy a coin worth $10. When you place the transactions, the cost remains at $10, but after completion, your total cost of coins left is only $5. It is advised to participate in those exchanges that support the anti-clamp function.
Honeypot
It is the type of bait strategy used to lure traders. In this method, the fraudulent people keep pulling the price of certain tokens up to attract users to buy. For example, you are attracted to some coins because of an unknown reason. After you buy, you are unable to sell the coins because the contract you have purchased has the blacklisted address. In fact, when you buy the coin, you have already lost the value; you cannot sell it to other people over the internet.
LP Fraud
In the crypto world, it is often seen that crypto project owners provide a large amount of funds in the liquidity pool. In any case, if the project owner suddenly withdraws the funds from the liquidity pool, the users who buy the coins to test their luck are stuck because of the insufficient liquidity in the pool, and any transactions will not be possible. Therefore, it is advised that when you are buying the crypto coins, always make sure the liquidity is locked. If the project never locked the liquidity position, it means the chances of the project owner's runway at any time are always possible.
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