Another type of blatant exit scam in DeFi is a rug pull can be classified as a hard rug or a soft rug. Hard rugs include removing liquidity from the liquidity pools and taking locked assets on the platform. Soft rugs, however, are when the team behind a project abandons the project and sells all their remaining tokens, effectively dumping the price of a token to or near zero. While hard rugs may seem more malicious, they are usually easier to identify because they rely on malicious code (which is open-sourced) and can be avoided by simply not using a platform until it has been audited by large auditors such as Certik or Peckshield. Soft rugs, on the other hand, require the judgment of the investors themselves to determine the feasibility and longevity of a project based on its utility, tokenomics, and development.