Exit Scam
When a cryptocurrency project, exchange, or marketplace abruptly shuts down and disappears with investors' or customers' funds after building sufficient trust to attract deposits.
Also known as: soft exit, slow rug, exchange exit scam, DNM exit scam
Last reviewed: 1 June 2026
An exit scam is the deliberate, planned termination of a fraudulent operation once enough money has been accumulated. Operators build credibility over time — launching a functional product, creating active communities, running marketing campaigns — specifically to maximise the amount of victim funds held before vanishing.
Exit scams occur across many contexts in the crypto ecosystem: centralised exchanges that hold user funds and close without warning; decentralised finance (DeFi) projects whose developers drain the liquidity pool (a rug pull); NFT projects that collect minting fees and then abandon social media and websites; and darknet markets that disappear with vendor and buyer escrow funds.
Red flags include anonymous teams with no verifiable identities or track records, inability to withdraw large sums, pressure to deposit more before a 'limited window' closes, and sudden changes in withdrawal terms. The exit scam differs from a rug pull in that it can be slower and more deliberate, often involving sustained operations over months or years to maximise take.
Examples
- A cryptocurrency exchange accumulates user deposits over eighteen months before disabling withdrawals and ceasing communications, with operators unreachable.
- A DeFi project team retains admin keys and drains the liquidity pool after price appreciation attracts significant investor capital.