Exploring BALD: The Meme Token Rug Pull and Strategies to Mitigate Risks

Update 9 Aug 2023 • Reading Time 7 Minute
Image Exploring BALD: The Meme Token Rug Pull and Strategies to Mitigate Risks
Reading Time: 7 minutes

Familiar names like DOGE, SHIB, PEPE, and FLOKI have dominated the landscape of popular meme tokens. However, the crypto world has recently been captivated by the unexpected arrival of a new meme token, fueled by a price spike that surged over 4000% within a single day. Unfortunately, this euphoria soon faded when BALD’s price suddenly plummeted, raising allegations of a rug pull in the project. In this article, we will look in-depth at the BALD meme token and the rug pull mechanism and share tips to avoid the risk of rug pull in similar meme token projects.

Article Summary

  • ⛓️ BALD is a meme token that operates on the Base network, a Layer 2 Ethereum project by Coinbase and Optimism.
  • 🚨 The launch of the BALD token on the Base network via DEX Leetswap was met with great enthusiasm. However, like other meme tokens, BALD generally does not have a strong roadmap or fundamental value.
  • ☠️ Created by an anonymous developer, the BALD token underwent price manipulation through liquidity adjustments, purchases, and withdrawals, resulting in pronounced price oscillations within a brief timeframe.
  • 👍 Before participating in the meme token market, it’s always a good idea to do thorough research, not FOMO, get to know the developer team, and avoid buying tokens when the price rises sharply.

What is BALD?

Source: Garlam

BALD is a meme token that operates on the Base network. Base is a Layer 2 Ethereum network built using OP Stack. Coinbase and Optimism collaborated on the development of Base.

Base is an ambitious Coinbase project that enables the creation of dApps using Ethereum security and Coinbase integration. Base can implement low fees and full compatibility with the Ethereum Virtual Machine (EVM). It also supports zero-fee transactions and enables cross-chain application development.

Read also: OP Stack Ecosystem and Optimism Superchain.

Base simplifies the access of dApps developers to Coinbase's products and distribution. It encompasses smooth integration, convenient linkage with fiat currencies, and the availability of millions of verified users within the Coinbase ecosystem.

It’s no wonder crypto users are excited about launching a new crypto token on the Base network via Leetswap. Leetswap operates as a DEX within the Base ecosystem, facilitating the trading of the BALD token.

An anonymous developer created the BALD token. BALD refers to the humor towards Coinbase CEO Brian Armstrong, who is associated with a balding head. Besides BALD, there are several meme tokens on the Base network, such as BRIAN, BASEDHAIR, BALDINU, and others.

Like most other meme tokens, BALD is just a meme token with no roadmap or strong fundamental value. The BALD developer revealed this through its Twitter account @BaldBaseBald.

On Sunday, July 30, 2023, the BALD token suddenly experienced a price spike of over 4,000%! However, within a day, the BALD token suddenly dropped by 92% on Monday, July 31, 2023.

At that time, the BALD token did not yet have a user interface (UI), making it impossible to bridge contracts. It means that users cannot withdraw their funds immediately. Only a one-way bridge was available, which connected back to the Ethereum blockchain. It is through the Optimism mechanism but takes about seven days (Optimism challenge period). Despite this, the token is still attracting significant investments.

Learn more about Optimism and how it works here.

Coinbase launched the Base testnet on February 23, 2023, while the mainnet launched on August 9, 2023. It means that the BALD token operates on the Base testnet.

What Happened to The Bald Token?

Source: notEezzy

In a tweet by DeFi watcher DeFi Warhol, he referred to the anonymous developer BALD as “The Boss.” Therefore, in this article, we also refer to him as “The Boss.”

On July 29, 2023, at 18:43 UTC (01:43 WIB), The Boss created the BALD token. He is a crypto whale with wallet address 0xccfa0530b9d52f970d1a2daea670ce58e4176389.

After creating the tokens, The Boss gradually filled in the liquidation of the BALD tokens. On July 30, 2023, at around 04:00 UTC (11:00 GMT), he added more than 100 ETH in each transaction to the BALD liquidity pool. In total, he deposited 6,187 ETH into the BALD pool.

Then, something exciting occurred on July 31, 2023, at 12:14 UTC (19:14 WIB). The Boss started buying BALD tokens by executing over 80 orders, each worth 10 to 30 ETH.

In total, The Boss injected 1,150 ETH into the market, which resulted in the price of BALD rising from 0.05455 to 0.09578.

However, what’s most interesting is the events that followed. After the price increase (pumping), The Boss suddenly withdrew 10,705 ETH (approximately 20 million US dollars) from the BALD liquidity pool.

As a result, the price of BALD dropped very sharply, as you can see in the image above. On the other hand, The Boss’s account balance increased to about 5 million US dollars, and his Twitter account was flooded with “REKT” messages (a term referring to huge losses in crypto trading).

Source: Rekt crypto boy

The Lessons and How to Avoid Rug Pull on Meme Tokens

The rug pull practice on meme tokens is not only happening with BALD. Previously, we have witnessed a similar case with the Squidgame (SQUID) token, where the developer suddenly withdrew all funds and left the project. From the BALD token incident, here are some lessons and tips that you can take note of as an investor:


Investors who jump into the meme coin market may risk huge losses without understanding. Meme coins tend to have highly variable values, even high volatility, and often lack a strong fundamental. Therefore, having enough knowledge before engaging in meme coin investment or trading is important.

It would help if you also were wary of undue influence from hype on social media platforms. Instead of making impulsive decisions due to FOMO, it is wiser to do thorough research first.

2. Avoid Large Allocation of Funds on Meme Tokens

The allocation of large funds on meme tokens is risky as their value and stability are highly unpredictable. Sentiment in the crypto market can be heavily influenced by changing social trends or unexpected events (such as a rug pull), which can result in large fluctuations in the asset’s value.

If you are interested in participating in meme tokens, consider allocating only a small portion of your portfolio. Also, always use ‘idle money’ or money you consider ‘ready to lose’ if something goes wrong.

3. Know the Team Behind the Token

Getting to know the team behind the token is crucial. A team of individuals with a strong track record and experience in the crypto industry can give you confidence that the project has real potential.

Anonymous team, such as the developer of the BALD token, is one of the red flags in crypto projects, especially meme tokens. When the team behind a project chooses to remain anonymous and keep their identity private, it can create a lack of transparency and uncertainty that increases the risk for investors.

4. Don’t Buy Meme Tokens when the Price is Rising Significantly

When the price of meme tokens is experiencing a sharp and rapid rise, you should consider carefully before deciding to buy. It is because drastically rising price trends are often followed by significant corrections.

When the price trend has peaked, there is a high probability that you will buy at the highest price and risk incurring losses when a correction occurs. Investors looking to take profits at the highest price can quickly drop the token price.

Always remember that market corrections are a natural part of price movements in the crypto market.

5. Choose Crypto Projects with Strong Fundamentals Over Meme Tokens

When the Bitcoin market is experiencing flat and sideways price movements, there is an opportunity to focus more on crypto projects with strong and innovative fundamentals.

Choosing projects with strong fundamentals has several advantages over getting involved in meme tokens with a high risk of rug pull.

You can take your time understanding quality projects rather than getting caught up in the quick search for profits with meme tokens.

Read also: Meme Coin Season: How to Avoid Scam and Rug Pull in Meme Coin.


The BALD meme token runs on the Base network, a Layer 2 Ethereum developed by Coinbase and Optimism. However, anonymous projects like BALD can be a warning sign in crypto, especially meme tokens.

The anonymity of developers increases the risk of scams and extreme fluctuations in value, as was the case with BALD, which spiked up to 4,000% in a single day before plummeting 92% after a rug pull. As an investor, it is essential to be wary of projects with anonymous teams and always invest with knowledge and caution.

Buying Crypto Assets on Pintu App

You can invest in crypto assets such as DOGE, BTC, ETH, and others without worrying about fraud on Pintu. In addition, all crypto assets on Pintu have passed a rigorous assessment process and prioritize the principle of prudence.

The Pintu application is compatible with various popular digital wallets, such as Metamask, to facilitate transactions. Download the Pintu app on Play Store and App Store! Your safety is guaranteed because Pintu is regulated and supervised by Bappebti and Kominfo.

In addition to making transactions on the Pintu app, you can also learn more about crypto through various Pintu Academy articles that are updated weekly! All Pintu Academy articles are created for educational and knowledge purposes, not as financial advice.


  1. Sam Reynolds and Shaurya Malwa, Is Sam Bankman-Fried Tied to a New Apparent Crypto Scam Called BALD? Coindesk, accessed 7 Agustus 2023.
  2. Mat Di Salvo, BALD Meme Coin on Coinbase Layer-2 Goes to Zero as Dev Pulls Liquidity, Decrypt, accessed 7 Agustus 2023.
  3. Defi Warhol, What Happened to BALD? Twitter, accessed 8 Agustus 2023.
  4. Darius King, Unravelling the $BALD token saga: A 24-hour whirlwind of astronomical gains, Twitter frenzy, and a dramatic rug pull, Twitter, accessed 8 Agustus 2023.
  5. Syofri Taka, Rug Pull Crypto BALD yang Diterbitkan di Blockchain Coinbase, Blockchain Media, accessed 8 Agustus 2023.
Author:Ginisita Dofany

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