Token launch risk encompasses the various potential hazards associated with the initial public release of a new cryptocurrency token. These risks include technical vulnerabilities in smart contracts, market manipulation during initial trading, or regulatory uncertainties. Such factors can negatively impact the project’s success and investor confidence. This is a critical initial project vulnerability.
Context
News surrounding token launches frequently highlights both the opportunities and the inherent risks for early participants. Projects aim to mitigate token launch risk through rigorous security audits, transparent tokenomics, and clear communication with their communities to foster trust and long-term stability in the digital asset market.
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