[Ethereum] An unlocked wallet is holding 100% of LP


I'm in https://poocoin.app/ to follow some charts of a meme token and found this message in red "An unlocked wallet is holding 100% of LP".

By following the link I ended in a PancakeSwap LP page of that pair with just 2 holders.

Is this token somehow vulnerable to any exploit until the owner lock it (whatever this means) ?

Best Answer

It means the owner can rug pull(remove liquidity, steal everyone's investment, and make the token valueless) any time. That is why that prompt exists. Locks are commonly done on DxSale and Poocoin checks if the LP holder is a DxSale/unicrypt/something else contract.

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