Crypto Scams Explode: 6,500% Rugpull Losses Shock Investors in Q1!

Crypto Scams skyrocket in Q1 2025, Causing $6 Billion in Losses

In the first quarter of 2025, crypto rugpulls have caused nearly $6 billion in losses. This is a staggering 6,500% increase from the $90 million recorded in the same period last year, according to a DappRadar report.

While the frequency of rugpulls has decreased by 66%, from the $90 million recorded during the same period last year, according to a new DappRadar report.

Despite the financial toll, rugpulls have become less common. DappRadar found that “only 7 [incidents] have been reported so far” in 2025, compared to 21 in early 2024, marking a 66% drop in frequency, even as losses have exploded.

The Mantra Network case shows how misleading signals can hide in plain sight,gherghelas say,adding that the platform’s all-time high in Unique Active Wallets “was just 64,recorded in December 2024.” Outside of that brief spike, daily wallet interactions consistently ranged between 1 and 11, with multiple days showing zero activity altogether. This lack of consistent user engagement points to low traction, a potential red flag for any project claiming growth or adoption.

Transaction data also raised concerns as some days “registered as many as 66 transactions,” adding that “activity just as frequently enough dropped back to zero.” The irregular patterns may point to “inorganic engagement — common signs in dapps that may be manipulated to appear more active than they are,” Gherghelas says.