Beware of Centralized Token Holdings! 🚨
If most tokens of a project are stored in a single wallet, it’s a red flag. Such wallets can manipulate prices or control the project. Scammers know this and often spread tokens across multiple wallets to fake decentralization, creating a false sense of security for investors.
But the truth? These wallets are often part of a cluster controlled by a small group or even one individual.
Spotting the Clusters
Tools like Bubble Maps can track wallet-to-wallet transactions, revealing hidden wallet groups and showing what percentage of tokens they control. For example, a wallet may show only 10% holdings, but its cluster might secretly control 30% of the tokens.
Access Bubble Maps for free via platforms like Dexscreener to analyze token distributions and avoid scams.
Key Tip for Investors
✅ Always check for wallet clusters before investing. A truly decentralized project will never have too much power in one group’s hands.
Stay safe and invest smart! 💡