Dogecoin has garnered significant attention and inspired the emergence of numerous other animal-themed coins in the crypto market. While early adopters and investors enjoyed considerable profits, the current situation for DOGE appears to be less favorable.
Amidst the plunging prices, the Dogecoin community also has something else to worry about. A key DOGE developer, Mishaboar, has recently asked the DOGE community to stay cautious of the growing DOGE impersonators.
Dogecoin dev asks users to stay cautious
In a recent major alert to the Dogecoin community by Mishaboar, concerns have been raised over the proliferation of tokens carrying the “Doge” name on various blockchain networks. With claims of locked liquidity, renounced contracts, and “doxxed” teams, these tokens may appear legitimate at first glance. However, experts caution that many are the work of scam artists.
The dev mentioned that as the popularity of Dogecoin surges, scammers are capitalizing on the frenzy by launching numerous tokens with similar names to confuse and deceive unsuspecting investors. Despite claims of robust security features like locked liquidity and renounced contracts, experts assert that these tokens are often the work of deceptive teams aiming to defraud individuals.
One particular tactic used by these Dogecoin scam projects involves maintaining a large decoy wallet to look legit. While investors may believe that the team is holding their tokens without selling, the reality is quite different.
Mishaboar stated that behind the scenes, these unscrupulous actors use a network of smaller wallets, airdropped to themselves or acquired at low prices, to offload their tokens without alerting the community.