Solana trading glossary
What is a rug pull?
Also called: Rug, Rugged
When the people behind a token remove its value, by pulling liquidity, printing supply or dumping a large hidden stake, and leave holders unable to sell at a fair price.
The name comes from pulling the rug out from under someone. A token launches, buyers pile in, and then the people who control it take the value out. On Solana the method is usually one of three: withdrawing the SOL or USDC from the trading pool, creating new tokens and selling them, or selling a large stake that was spread across many wallets so nobody noticed it.
What they have in common is that the power to do it was there before the rug happened. A live mint authority, liquidity that was never burned or locked, and a small group of linked wallets holding most of the supply can all be seen on-chain before anyone sells.
Why it matters before you trade
Most rugs happen to tokens that are days or hours old, when there is no track record to judge. Price and hype tell you nothing about whether a rug is possible. The contract and the holder list do, and checking them takes less time than reading the chart.
How NAVI shows it
Every token page has a rug check in its risk section with six checks: mint authority, freeze authority, top-10 wallet share, the liquidity lock on the largest pool, pool liquidity and token age. It also lists any named risks from the token's RugCheck report, such as a creator with a history of rugged tokens, with a plain explanation of each.
The rug check page explains how the checks and the risk score work, and lists high-risk tokens and recent risk changes live.
Related terms
- Soft rug vs hard rugA hard rug uses a technical power (pulling the pool, minting, freezing) to take value at once. A soft rug is insiders selling down over time and abandoning the token.
- HoneypotA token that lets you buy but stops you selling, or takes most of the sale in fees, so the price chart only goes up until the trap closes.
- LP burnThe liquidity-provider tokens for a pool have been destroyed, so nobody can withdraw that liquidity again.
Last reviewed 2026-09-25. NAVI is informational only and nothing here is financial advice.