A fraud in which a project’s operators withdraw pooled liquidity or exercise a retained privilege to expropriate holders, having marketed the project as legitimate.
Why it matters
Distinguished from an exploit by intent: the operators are the attacker. Conisec does not characterise a project as a rug pull without an official finding — that is a legal conclusion about intent, and it is not one a publication should reach on its own.
Not advice. Definitions are for understanding, not instruction. Nothing here is financial, legal, tax or security advice.