Trading tips Published · 7 min read · By

9-Point Memecoin Safety Checklist Before You Hit Buy on Padre

The checklist we run on every token page in Padre Terminal to filter out rug pulls and honeypots: Smart Scan, LP lock, dev allocation, top holders, exit plan.

Most money lost trading memecoins is not lost to hacks but to buying junk tokens. This is the checklist we run in 60–90 seconds on the Padre token page before every order. No single step is a guarantee, but together they filter out the vast majority of obvious rug pulls.

1. Smart Scan shows no red flags

Open the token page and read the Smart Scan block. Watch for honeypot (cannot sell), mint authority still enabled (dev can print more tokens) and freeze authority still enabled (dev can freeze your wallet). Any red flag: skip the token.

2. Liquidity (LP) is locked or burned

Unlocked LP means the dev can pull all liquidity at any moment. Prefer tokens with burned or long-locked LP. Tokens that graduated from Pump.fun usually have their LP burned automatically.

3. Dev and insiders hold under 10%

Padre shows dev holdings and linked wallets. Dev holdings above 10–15% are a major dump risk. Also check whether the dev wallet has a history of launching dead tokens.

4. Top 10 holders under 25–30%

Open the Holders tab. If a handful of wallets control most of the supply (excluding LP and exchanges), the price is easy to manipulate. Look out for wallets created at the same time with identical balances, a sign of a "bundle".

5. Enough liquidity for your order size

Rough rule: your order should not exceed 1–2% of pool liquidity, or you move the price yourself and slip on the way out. Padre shows price impact right in the order panel; above 5% is a warning.

6. Real volume, not wash trading

Compare 5-minute and 1-hour volume with the number of trades and unique wallets. High volume from a few wallets trading back and forth is usually bot pumping.

7. Socials that actually exist

Click the X, Telegram and website links on the token page. An X account created yesterday with 50 bought followers, or a website that is a meaningless template, is a big minus. Padre's Social Monitor tab shows where the token is being mentioned.

8. The contract is not a renamed copy

Many tokens copy the name and ticker of whatever is trending. Always paste the exact contract address from a trusted source; never search by name.

9. Exit plan before entry

This is the step most people skip. Before clicking Buy, decide your partial take-profit levels, your stop loss and your maximum size. On Padre, set Take Profit and Stop Loss immediately after the buy fills.

Save this summary: Smart Scan clean → LP locked/burned → dev <10% → top 10 <30% → size <2% of LP → real volume → real socials → correct contract → TP/SL set. Missing any item: reduce size or skip.

New to Padre? Start with the 8-step trading guide; step 5 is this checklist in short form.

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