News - 91 percent of BASE memecoins at risk

By Ted Maas

91 percent of BASE memecoins at risk

Scams, crime and fraud

The crypto hype on BASE is showing its dark side. One in six BASE memecoins is a scam; nine out of 10 are unsafe. Here's what investors need to know.

As many as 91 percent of memecoins on Coinbase's BASE platform are found to have security vulnerabilities, putting users at risk of significant losses. This is reported in a new study. More than 1,000 new BASE tokens were examined, specifically memecoins launched between March 19 and 25. According to the analysis, 908 projects failed to comply with one or more basic security measures.

While some security deficiencies are indicative of criminal activity, in most cases they reflect the lack of knowledge of proper security procedures by the creators of the coins.

Necessary security measures include blocked liquidity, verified contracts and the absence of honeypots. The latter lure BASE users with high profit potential, but then prevent them from being able to sell later. The crypto sector as a whole is divided over the memecoin hype. Some criticize the lack of benefits and high fraud rates, while others are less critical (probably because of the profit potential).

It is indeed alarming that circumstances such as excessive selling costs have led to 17 percent of all memecoins on BASE being direct crypto-scams. The problem on the BASE platform is certainly not unique. On the fast-paced layer 1 blockchain Solana, the majority of activity has long been generated by memecoin gamblers.

Download the Anycoin App

Finally, a crypto app for everyone!

Check it out