World events, hit Netflix shows, new memes, and even successful crypto projects can all trigger the launch of knock-off tokens by creators who are perhaps burning with inspiration – or feel like pulling the rug out from beneath you.
Of course, it can be hard to assess a new project which rides on the coattails of a larger one. So here’s what you need to know about JUMPN [JST] which was on CoinMarketCap’s ‘top gainer’ list at press time.
Should you be “JUMPN” with joy?
Obviously inspired by the recent performance of STEPN [GMT] which rallied by more than 17% in a single day, JUMPN [JST] quickly rose from $0.00016 to slightly over $0.0023 in around a day. At press time, however, GMT was down by 9.63%. On the other hand, JST was trading at $0.002313 after shooting up by 125.40% in the last day.
So what is the biggest red flag associated with JST? Well, CoinMarketCap did include a link to a website which claimed that the Jump Satoshi Token [JST] was a honeypot.
If that’s not enough warning for you, take into consideration that the BEP-20 token’s official site included no photos of the founders, but just their names and some illustrated profile pictures.
What’s more, the official JUMPN Twitter account had only 141 tweets – but joined in March 2012. Meanwhile, the token’s official website was created in early April 2022.
A dime a dozen, literally
Take a moment here to remember another token that also recently went ballistic. This BEP20 token, aptly named ELON BUYS TWITTER [EBT] went up by more than 100x in a day. Even at press time, EBT was trading at $0.000001748 after rising by 80.71%. However, CoinMarketCap had stopped collecting data about the token by that time.
While the jury might still be out on EBT and its safety, cast your mind back to February to remember certain meme crypto named SHIBA TRON [SHIBT].
When the token rallied by over 1000% in a single day, investors bought in, thinking it might be the next DOGE or SHIBA. However, PeckShield later reported that SHIBT might be a honeypot as only selected users could sell their assets.
For that reason, those thinking of jumping on the JUMPN bandwagon should be aware of all the red flags before opening their wallets.
#SCAM PeckShield has detected that @ShibaTronToken$SHIBT (https://t.co/PXu2lansGB) is #honeypot! Only whitelisted users can sell. Stay away from tokens that have a lot of restrictions on transferring or selling! pic.twitter.com/sRN3sXiz8x
— PeckShieldAlert (@PeckShieldAlert) February 28, 2022