In the crypto industry and in fact, in any financial industry, the liquidity of the asset is of utmost importance. For crypto, it simply indicates the ability to convert the crypto tokens to fiat currency like dollars. Without liquidity, the cryptocurrency token will hold no value.
However, due to the transparent and decentralized nature of the crypto space, the liquidity can easily be withdrawn by the token owners. Liquidity rug pulls have become a common scam in the digital world of Cryptocurrencies, and have caused considerable loss to investors. This write-up discusses an effective platform that can avoid such scams in the most effortless and accessible way!
Why use liquidity lock for crypto tokens?
Like other industries, the crypto marketplaces also have ins and outs. “Rug Pulling” is common and is a type of crypto scam in which malicious crypto developers defraud investors. They do this by running away with all the liquidity pool funds from DEX like UniSwap or PancakeSwap. This is now a common crypto “exit scam” because the so-called crypto developers launch a platform, offer enticing benefits to users, raise investments, and then leave with liquidity, leaving buyers bankrupt.
Owing to these scams, the concept of liquidity lock is introduced in the crypto space. However, this used to be a very costly and difficult process due to the lack of a good liquidity locking platform. Not anymore, In this article, we review Mudra Liquidity Locker, a simple tool to Lock Liquidity, that is also extremely economical and low-cost. With Mudra Locker, token developers can lock liquidity for their BSC/ BEP-20 tokens and provide confidence to their investors that they are not scammers who would withdraw their funds.
How does it work?
Liquidity is locked when the Liquidity Pool Tokens are sent to Mudra Locker smart contract for a fixed time interval. The locker time-lock contract secures your LP tokens. Since developers do not have the ownership to withdraw them, they can no longer hoodwink the token buyers. The token owners would typically disclose the lock duration to assure all the investors.
Benefits of using Mudra Liquidity Locker
The benefits of using the Mudra liquidity locking platform, especially in 2021, are unbelievable!
Trust development in the community
When your assets are secure, the community believes and invests in you. You can then reach the maximum potential of your business growth. Token owners can share the Mudra lock certificate with the investors and gain their trust.
No risk of scams for investors
Chances of scams significantly reduce the funding appetite of investors. They become skeptical of dealing with your tokens. With the Mudra Lock Liquidity platform as an investor, you can feel safe and freely invest in a new BSC token.
No longer token owners need to shell out a bomb to secure the LP tokens. Mudra Locker offers the lowest charges in the world to lock liquidity.
No need to deal with legacy platforms with clunky UI, Mudra locker has the most intuitive interface and lock features. Using Mudra Locker, you can lock your liquidity within seconds and with no help required. There is extensive documentation and how-to videos available in case you need help.
Trustworthy service provider
The reputation of Mudra in the crypto market on Binance Smart Chain says it all. Mudra has innovative tools for BSC blockchain. You can research and find legit tokens from scams and shit coins using the Mudra Research tool. Mudra also offers its own BEP-20 token creator, which has anti-whale mechanics and honeypot-free source code. 500+ developers and 20K+ investors using this platform.
Mudra is an LP Coin Liquidity Locker platform that is not owned by a token developer or an organization. It does not have any vested interests. Due to an unbiased approach, there are no risks of scamming and hidden agenda of promoting a utility token.
Using a Liquidity Locker is mandatory, especially today when scammers are flooding the crypto space with shitcoins and scam coins. For token developers, choosing a platform like Mudra Locker would help differentiate your token as a legit project and would make it a crypto gem. For investors, it provides the much-needed assurance and protection against losing all their money.