Liquidity Lock
A liquidity lock restricts access to liquidity-provider positions or tokens until specified conditions, commonly a time period, have been met.
✦ Key Insight
Removing most trading liquidity can leave token holders unable to sell without extreme price impact, so users often inspect whether project-controlled liquidity can be withdrawn.
✕ Common Misconceptions
Locked liquidity does not prove the token is safe. Minting, taxes, blacklists, proxy upgrades, concentrated holdings, and other risks may remain.
Detailed Explanation
In Practice
Dig Deeper
Liquidity
Liquidity describes how easily an asset can be bought or sold in meaningful size without causing a large change in price.
Liquidity Pool
A smart contract holding reserves of two or more tokens that traders swap against.
Holder Concentration
Holder concentration measures how much of a token's supply is controlled by a relatively small number of addresses or entities.
Honeypot Token
A honeypot token is a malicious or heavily restricted token that users can buy but ordinary holders cannot successfully sell under normal conditions.
Smart Contract Audit
A smart contract audit is a security review of contract code intended to identify vulnerabilities, design flaws, and other risks before or after deployment.