> For the complete documentation index, see [llms.txt](https://memeko.gitbook.io/memeko-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://memeko.gitbook.io/memeko-docs/reference/security-and-risk.md).

# Security & Risk

Memeko is designed to make token creation and trading accessible on Elysium and LitVM. However, interacting with digital assets always involves risk.

Before creating a token, buying an asset, or connecting your wallet, it is important to understand how to protect your funds and evaluate the risks involved.

This guide covers practical steps to help you use Memeko more safely.

### 1. Protect Your Wallet

Your wallet gives you control over your digital assets. Anyone who obtains your recovery phrase or private keys may be able to access your funds.

Follow these basic security practices:

* **Never share your recovery phrase.** Memeko support, project teams, and legitimate services should never need your wallet recovery phrase.
* **Keep your private keys private.** Do not send them through messages, emails, or websites.
* **Verify the website.** Make sure you are using the official Memeko website before connecting your wallet.
* **Review wallet requests.** Read the transaction details before approving or signing anything.
* **Protect your device.** Keep your browser, operating system, and wallet software updated.

If a website or person asks you to reveal your recovery phrase to claim rewards, unlock your wallet, or fix a transaction, treat it as a warning sign.

### 2. Verify Tokens Before Trading

Memeko supports a range of assets within its intended Elysium and LitVM ecosystem, including meme tokens, tokenized stock market assets.

Not every token carries the same risks.

Before buying a token:

* Check its name, ticker, and contract address.
* Review the project's description and available social links.
* Examine the token's price history and trading activity, where available.
* Understand the buy and sell tax rates.
* Review the creator's allocation of trading tax.
* Check the available liquidity and holder information.

A familiar token name or image does not prove that an asset is genuine. Always verify the contract address using reliable sources.

### 3. Understand Meme Token Risks

Meme tokens can experience rapid price movements driven by community attention, speculation, and trading activity.

Consider the following risks before participating.

#### Price Volatility

A token's price can rise or fall sharply in a short period. You may lose some or all of the money you invest.

#### Limited Liquidity

A token may have insufficient liquidity to support the amount you want to sell. You may receive less than expected or be unable to exit your position at your preferred price.

#### Creator and Community Risks

A token's creator may stop developing the project, and its community may lose interest. A project's popularity does not guarantee long-term demand.

#### Trading Taxes

Some Memeko-launched tokens have creator-configured buy and sell taxes. These costs can affect how much you receive when buying or selling.

Always check the applicable rates before trading.

### 4. Understand Bonding Curve Risks

Newly launched Memeko tokens are designed to trade through a virtual bonding curve before graduation.

During this phase, the token's price changes according to buying and selling activity.

Keep in mind:

* Buying activity can increase the token's price, while selling activity can move it in the opposite direction.
* Large trades may have a significant effect on execution prices.
* Slippage protection may cause a transaction to fail if the expected minimum amount cannot be met.
* A token may not reach its graduation target.
* Graduation does not guarantee future price increases or sufficient liquidity.

The bonding curve progress indicator helps you understand the token's progress toward graduation, but it is not a measure of investment safety.

### 5. Understand Graduation and Liquidity Locks

Memeko's documented launch model includes a transition from pre-market bonding curve trading to decentralized exchange trading.

Its design also includes permanent liquidity locking and optional token locking.

These features can provide useful information, but they do not eliminate every risk.

For example:

* A liquidity lock does not guarantee that buyers will remain interested in the token.
* A time-locked allocation may become transferable when the lock expires.
* A permanent token burn does not guarantee an increase in price.
* Smart contract vulnerabilities may still affect a token or its associated mechanisms.

Review the available locking information and understand what it does and does not protect against.

### 6. Be Careful With Tokenized Stock Market Assets

Memeko's intended asset ecosystem includes tokenized stock market assets.

These assets can introduce risks that differ from those of ordinary meme tokens.

Before interacting with a tokenized stock market asset, review:

* **The issuer:** Identify the organization responsible for issuing or supporting the asset.
* **The underlying exposure:** Understand what stock, security, or market exposure the token represents.
* **Redemption terms:** Check whether the token can be redeemed for an underlying asset or whether it only provides a particular form of market exposure.
* **Trading restrictions:** Some assets may have eligibility requirements, market-hour limitations, or geographic restrictions.
* **Liquidity:** The token's on-chain trading price may differ from the value of its underlying exposure.

Do not assume that a tokenized stock automatically grants ownership of company shares, voting rights, dividends, or redemption rights. These depend on the specific asset and its legal and contractual terms.

### 7. Understand HYPE/zkLTC and Network Fees

Memeko is intended to operate on Elysium and LitVM , where **HYPE/zkLTC is the native gas token**.

Network gas fees are separate from Memeko's platform fee and any creator-configured token trading tax.

Before confirming a transaction:

1. Make sure your wallet is connected to Elysium and LitVM .
2. Check that you have enough HYPE/zkLTC to cover the network fee.
3. Review the transaction amount and destination.
4. Confirm that the asset and trading pair are correct.
5. Read the transaction details in your wallet before signing.

A failed transaction may still consume network gas, depending on how it fails and the network's fee rules.

### 8. Recognize Scams and Suspicious Activity

Be cautious of anyone promising guaranteed profits or pressuring you to trade immediately.

Common warning signs include:

* Fake Memeko websites or social accounts.
* Impersonators claiming to be project administrators.
* Unofficial links offering free tokens or rewards.
* Requests for your recovery phrase or private keys.
* Fake investment opportunities promising guaranteed returns.
* Tokens using names or images similar to established projects.
* Unexpected wallet requests or transactions you do not understand.

Use official project channels to verify announcements and links before interacting with them.

### 9. Make Informed Decisions

Memeko provides token information and trading tools to help users research assets, but the availability of information does not guarantee that a token is legitimate, secure, or profitable.

Before making a transaction, ask yourself:

* Do I understand what this asset represents?
* Have I checked its contract address and trading taxes?
* Do I understand the risks of its trading mechanism?
* Is there enough liquidity for my intended trade?
* Can I afford to lose the amount I am considering?

If you cannot answer these questions confidently, take more time to research before proceeding.

### Final Reminder

Digital asset trading involves financial risk, technical risk, and the possibility of losing your funds.

Protect your wallet, verify every transaction, research assets carefully, and never invest money you cannot afford to lose.

**Stay informed. Verify before you trade. Keep your assets secure.**