This Cryptocurrency Plunges by 90%: Rug Pull?

TL;DR

• CryptoPawCoin (CPRC) plummeted by approximately 90% in 24 hours, despite the broader crypto market’s bullish trend.
• The newly-launched token spiked by nearly 700% in mid-October, but faced skepticism due to its low market cap and absence from CoinMarketCap.
• CPRC claims to merge blockchain with animal welfare, aiming to support animal-related organizations. The recent price drop raises concerns about a potential “rug pull” scam.

Despite the ongoing bullish condition of the cryptocurrency market, some crypto assets are on a downfall. One of them, named CryptoPawCoin (CPRC), leads the pack, being approximately 90% down for the past 24 hours (per CoinGecko’s data).

The token, which saw the light of day earlier this month, made the headlines in mid-October when its price exploded by almost 700%. However, some might have doubted its legitimacy due to various reasons, including the fact that CoinMarketCap did not initially add it to its platform. 

Moreover, the information about CPRC seems to be scarce. According to its official website, the coin is a “revolutionary cryptocurrency project that merges cutting-edge blockchain technology with a fervent commitment to animal welfare.”

“By creating a transparent, efficient, and accountable platform, CPRC aims to transform the way we support animal shelters, rescue organizations, and wildlife conservation efforts,” the team added.

It remains unclear whether the price crash is a consequence of a rug pull, a type of fraud where the people behind a certain project run with investors’ funds by selling or draining its liquidity. Those wishing to find out more about that type of scam and how to avoid it can watch our video below: