The pre-sale of newborn tokens and coins can be very profitable or very harmful. In the Unicrypt Launchpad system, if the presale does not reach saftcap, you can safely withdraw your investment from the system. In addition, the liquid locking feature of the system is reassuring.
Although decentralized finance has many good features, malicious people can also use this system. You need to do a good research before investing.
Unicrypt Launchpad is fully decentralized, meaning that any project can host its presale on the platform.
Before investing your money in a project, you should be aware of some of the risks of pre-sale. Since projects are based on a smart contract, there are some risks. Many people do not know what are the shortcomings in smart contracts of projects because they do not have advanced coding knowledge. Some of the risks:
⛔ Minting — If a token contract has minting it is possible for the developers to mint as many tokens as they may like. If the supply of tokens suddenly increases, the price drops suddenly.
In other words, users should know that token contracts that come with minting functionalities allow the developers to mint as many tokens as they may like.
In order to overcome this trust problem, projects have their smart contracts audited by independent organizations. Here, it is also important that the auditing organization is capable and works well.
⛔ Proxies — If a token is behind a proxy, the contract can be changed in the future to anything they would like. Including freezing token transfers, increase transaction fee and minting more tokens.
⛔ Developer abandonment — People who do not have good intentions run away after the pre-sale instead of doing the promised project. Sorry, this is a common problem. Therefore, you need to investigate the people behind the project you will invest.