GarudaSwap Rug Pull Risk Assessment

About GarudaSwap

GarudaSwap is the 1st Next Generation Automatic Liquidity Acquisition yield farm and AMM decentralized exchange running on Binance Smart Chain (BSC) with lots of unique and creative features that let you earn and win for a long time.

Contract: 0x854086dc841e1bfae50cb615bf41f55bf432a90b

Contract deployer: 0x6d21333444fccef0aceab0bb9d7f25d5c2fa7afd

Highlighted and explained below are some of its acclaimed unique features as mentioned in the project documentation:

Automatic Liquidity with 8% transaction reflection tax: This is the main feature of Garudawap. Each transfer of GARUDA incurs an 8% transfer tax. The 7.04% transfer tax gets added back to the liquidity pool through the contract automatically. This will help to raise the GARUDA price floor continuously. And the liquidity will be locked and inaccessible. This feature of GarudaSwap, combined with a smart fee distribution model and Skyfarm will encourage users to hold the token for long-term benefits.

Automatic Burning: The project also has an automatic burning feature that removes the token from circulation and returns it to the liquidity pool automatically.

Harvest Lockup: This is another feature mentioned by the project team in their whitepaper which is a unique rewards lockup mechanism that is used to limit the frequency of harvest. It is designed to prevent farming arbitrage bots from constantly harvesting and dumping like other farms.

Anti-whale feature: Finally, the project also has an anti-whale feature that rejects the transfer of more than 0.5% of the total token supply. As such, a whale cannot dump the price immediately like it is seen in other projects. As the total supply grows, this ratio will be reduced.

Anti Rug Investigation

After a thorough and in-depth research by Anti-Rug community, we found out that not all that was claimed by the project was as it is. Here are some of the core highlights of our investigation:

Highlights:

• No proof found for any locked liquidity:

0x78211a692cd7f3be44343c5b0a7fcb0e7691d170 (this address owes 3.65% of all supply and it’s not locked). This address automatically receives a percentage of on-harvest transactions.

One example of such a transaction is this:

https://bscscan.com/tx/0x9222fa13931483f3edaa8a034f70a91df83f5323644222f99e527992fd139b53

Here is a summary of the transactions that are carried out on this address:

Conclusion

Although GarudaSwap has a lot of promising features, it is unclear why no proof was found for any locked liquidity which they claim in their documentation. As such, it is advised that you do your due diligence before investing in this project by either staking, buying of their token, or partaking in the liquidity pool to prevent being rug pulled. We will update you as we gather more valuable information about the project and you can also follow us to get information on the various rug pull investigations we carry out.

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