What is Honeypot token?
A token whose contract lets you buy but blocks selling.
The trap is in the token code: transfers out are blocked, taxed to nothing or restricted to a list. On screen the price looks fine because small buys keep landing.
Test a tiny buy and sell before committing real size, and check the contract for functions that can pause or restrict transfers.
Related terms
- Rug pullSecurity
A project that takes deposits and then removes the liquidity or dumps its own supply.
The chance that a contract's code or admin keys take your funds, regardless of price.
- Token approvalSecurity
Permission you grant a contract to move a token of yours, sometimes without a limit.