Rugpull Losses Soar 6,500% in 2025 as Crypto Scams Turn Deadlier, Nearly $6B Lost – DappRadar

In a year already marred by mounting concerns about user safety, a new report from DappRadar revealed that crypto rugpulls have stolen nearly $6 billion from the ecosystem since the beginning of 2025.

This is a staggering 6,499% surge from the $90 million recorded during the same period last year.

According to DappRadar’s blockchain analyst Sara Gherghelas, 92% of the total damage is attributed to a single incident: the suspected rug pull orchestrated by Mantra Network, a DeFi project on the Polygon blockchain.

While the investigation into Mantra is ongoing, its sheer scale has already made it one of the most consequential scams in recent crypto history.

Yet, while the financial cost of rug pulls has ballooned, their frequency has notably decreased.

DappRadar recorded just seven incidents in early 2025, compared to 21 in the same timeframe in 2024.

This 66% decrease in occurrence may seem like progress, but it reveals even more threat. They’re no longer just chasing quick wins; they’re building elaborate traps that can collapse entire ecosystems overnight.

The Mantra Meltdown: Anatomy of a High-Stakes Rugpull

What makes the Mantra Network case so alarming is the amount lost and how the warning signs went largely unnoticed.

The project launched with promises of DeFi innovation and cross-chain utility, gained listings on platforms such as DappRadar, and gradually built its presence.

However, a closer examination of on-chain data reveals a concerning pattern that might have tipped off more cautious users.

According to DappRadar, the platform’s highest recorded count of Unique Active Wallets (UAW) was a mere 64 in December 2024.

Outside that spike, engagement levels were consistently low, ranging from 1 to 11 daily wallet interactions, with many days logging zero.

Transaction data painted a similarly erratic picture. On some days, as many as 66 transactions occurred; on others, none at all.

These fluctuations, according to DappRadar, suggest inorganic activity, possibly the result of wash trading, bot simulations, or insider manipulation.

Mantra’s contract data on PolygonScan also revealed concerning wallet distributions or centralization patterns, often precursors to liquidity withdrawals and insider dumping.

The lack of verified smart contracts and open GitHub repositories further clouded the project’s legitimacy. All of these red flags were hiding in plain sight.

Evolving Threats and the Need for Real-Time Vigilance

The 6,500% surge in rugpull-related losses is shocking, but it reflects more than just the scale of a single incident.

In Q1 2024, rugpulls primarily emerged from NFT projects, DeFi experiments, and meme tokens, areas driven by rapid speculation and minimal oversight.

In 2025, however, the concentration of rugpulls has shifted heavily toward the memecoin sector.

Speculations aside, the North American Securities Administrators Association (NASAA) has recently identified crypto and social media scams as the top threats to retail investors in 2025.

According to NASAA’s report, scammers are leveraging social media networks, including Facebook, X, Telegram, and WhatsApp, to promote fraudulent investments.

They often utilize AI-generated content and employ emotional manipulation tactics such as FOMO and romance-based “pig butchering” scams.

NASAA’s survey found that nearly 39% of regulators expect AI-generated content to become a dominant tool for scammers, while 22% foresee a surge in deepfake-based fraud.

Reports show these tactics have already resulted in over $24 billion in losses in 2024, with pig butchering scams alone causing more than $3.6 billion in damages.

In fact, in 2024, crypto scammers defrauded victims of at least $9.9 billion , with the final figure potentially surpassing $12 billion, according to a Chainalysis report.

With a 40% surge in “pig butchering” scams, this type of fraud now accounts for more than a third of total incidents.

While it’s unlikely that rugpulls will ever vanish completely, their impact can be blunted, and Mantra Network is among the biggest ever seen.