Added Token Analysis

June 31, 2022. We added token analysis to assess several attributes of a given token contract. In a nutshell, the indicators (e.g., the squares) return either red or green markers. While no method is absolute, the more green indicates lesser risks in comparison to similar token contracts with more red.

Attributes evaluated include:

  • Verified Code: Indicates green if the source code has been verified. Verified source code offers a certain degree of assurance that the smart contract performs as stated. This is available on Ethereum and Binance Smart Chain.

  • Creator ownership: Creator with large ownership, e.g., more than 5%, can significantly impact the price of the token. If detected, this indicator will show red.

  • Cannot buy: Describes if the token can be bought. If buying is restricted, the indicator will be shown as red as lack of trading either in buy and sell may impact token price as well as its overall liquidity. However, do note that some tokens are issued as rewards and therefore cannot be bought directly by users. In such cases, the indicator will also be marked as red.

  • Cannot sell: Describes whether the contract has the function restricting oken holder selling all the token. If the token can be sold. If selling is restricted, the indicator will be shown as red as lack of trading either in buy and sell may impact token price as well as its overall liquidity.

  • Honeypot: Describes if the token is a honeypot in that the token cannot be sold because of the smart contract's design. Honeypot is generally a malicious contract and will indicate red if it is determined to be a honeypot.

  • Hidden owner: Describes a token where the developers have ability to manipulate the contract after ownership has been renounced. Generally, the token with hidden owner represents a certain degree of risk especially with regard to rug pulls and other unintended actions.

  • Resume ownership: Once a token contract is renounced (where contract owner is a blackhole address or null) the settings of parameters of the contract are disabled. This indicator will be shown as red if the ownership can be resumed, in which case, any or all parameters of the contract can then be altered.

  • Renounced owner: Renounced contract or contract with blackhole address is safer than one that centrally control. If detected, this indicator will show green.

  • Anti-whale: Describes whether the contract has the function to limit the maximum amount of transactions or the maximum amount of coins held. Whales can exert significant influence on token price, accordingly, if detected, this indicator will be shown as green.

  • Mintable: Mint function can directly trigger a massive sell-off, causing the coin price to plummet. Accordingly, if detected, the indicator will be shown as red.

  • Blacklisted: Indicates that the contract has the ability to blacklist addresses. This is significant because malicious owner may abuse teh blacklist by blacklisting most users leaving those users without trading recourse. If detected, the indicator will be shown as red.

  • Whitelisted: Indicates that a function is present allowing specific addresses to make early transactions, tax-free, and not affected by transaction suspension. Similarly to blacklisting, this may be abused thus if detected, the indicator will be shown as red.

  • Transfer Pausable: Indicates that the contract owner has the ability to suspend trading on the token at any time except those who have special authority. If detected, the indicator will be shown as red.

  • Total supply: This is the token supply of the contract.

  • Holder count: This is the number of holders of the token. Large count is always better.

  • Buy and Sell tax: Is the buy and sell tax in percent. Any tax less than 5% is good and the indicator will show green.

  • LP Name: Is the name of the liquidity pool where the token pair is traded.

  • Pair address: Is the pair trading address

  • LP total supply: This is the value of the LP for the token. The larger LP is generally better for liquidity and safety from volatile price swings.

  • LP holder count: This is the current LP holder count. The larger count is generally better.

We also added days in operations. This metric is useful in determining the lifespan of certain events such as rug pulls. The calculation for the age is based on the combination of factors including the method indicated by the report, date of the domain registration, the creation date of the Twitter account, report date, and token deployer date.

There will be additional metrics to be added in the coming weeks.