Crypto scams turn deadlier in Q1 as rugpull losses surge 6,500%

Crypto rugpulls wiped out nearly $6 billion in Q1 2025, up 6,500% from just $90 million a year earlier, data shows.

Web3 projects have lost nearly $6 billion to rugpulls since the beginning of 2025, a 6,499% increase from the $90 million recorded during the same period last year, according to a new DappRadar report.

As DappRadar’s blockchain analyst Sara Gherghelas notes, a single case accounts for most of the damage, as 92% of the amount “is tied to the Mantra incident,” which she describes as “one of the largest individual scams recorded in recent years.”

Mantra’s on-chain activity | Source: DappRadar

Despite the financial toll, rugpulls have become less common. DappRadar found that “only 7 [incidents] have been reported so far” in 2025, compared to 21 in early 2024, marking a 66% drop in frequency, even as losses have exploded.

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The Mantra Network case shows how misleading signals can hide in plain sight, Gherghelas say, adding that the platform’s all-time high in Unique Active Wallets “was just 64, recorded in December 2024.”

“Outside of that brief spike, daily wallet interactions consistently ranged between 1 and 11, with multiple days showing zero activity altogether. This lack of consistent user engagement points to low traction, a potential red flag for any project claiming growth or adoption.”

Sara Gherghelas

Gherghelas says transaction data also raised concerns as some days “registered as many as 66 transactions,” adding that “activity just as often dropped back to zero.” The irregular patterns may point to “inorganic engagement — common signs in dapps that may be manipulated to appear more active than they are,” Gherghelas says.

Read more: TRUMP developers remove $4.6m from liquidity pool, raising rug pull concerns

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