Liquidity pools are the foundation of DeFi, ensuring easy and direct trading without involving third parties.
Scammers create fake crypto liquidity pools and use misleading methods like rug pulls to swindle investors.
To avoid fake crypto liquidity pools, investors should watch out for excessively high returns, anonymous developers, non-audited smart contracts, inactive communities, and suspicious tokenomics.
It is important to stick with legitimate crypto pools and conduct thorough research to protect investments.