LESSONS

The Checklist You Run Before Every Buy (Or You Deserve the Rug)

A hard-nosed walkthrough of the pre-buy checklist that separates disciplined traders from exit liquidity.

· 5 min read · Blackhat Empire

Why You Need a Pre-Buy Checklist

Most memecoin traders lose because they buy first and ask questions later. They see a green candle, a funny name, or a tweet from a KOL and click "swap" before their brain engages. That is not trading. That is donating.

A pre-buy checklist is the wall between you and the 99% of coins that go to zero. It forces you to slow down, verify the basic facts, and decide if the risk is worth the slot in your portfolio. Without it, you are just gambling with extra steps.

This checklist is not for everyone. It is for people who want to survive long enough to compound wins. If that is not you, close this tab.

The Seven-Point Pre-Buy Checklist

Run these checks in order. If any one fails, you walk. No exceptions.

1. Liquidity Check

The first thing to verify is that the coin has real, non-trivial liquidity. On Solana, that means at least a few hundred SOL in the pool — ideally more. On EVM chains, look for at least $50k-$100k locked in a reputable DEX like Uniswap or Raydium.

  • Do not buy coins with less than $10k in liquidity unless you understand you are playing a different, far riskier game.
  • Check if liquidity is locked. Use GMGN to view the liquidity locker status. If it is unlocked, the dev can pull it at any moment.
  • Multiple pools are a red flag. One pool, one token address.

2. Holder Distribution

Open the holder list on GMGN and skim the top 10 holders. You want to see:

  • No single wallet holding more than 5-8% of the supply.
  • No cluster of wallets created on the same day, all holding similar amounts (sybil / dev wallets).
  • A healthy distribution of small holders — not just a few whales and empty wallets.

If the top 10 control 40%+ of the supply, you are the exit liquidity.

3. Contract Verification

This is the most skipped step and the most painful when ignored. You do not need to read Solidity. You need to check:

  • Is the contract verified on the block explorer? Unverified = do not touch.
  • Does the token have mint and freeze authority disabled? On Solana, look for "Mint Authority: None" and "Freeze Authority: None."
  • Is there a tax on buys or sells? Anything above 5-10% is a honeypot warning. Use a tax checker tool or GMGN's built-in tax display.

4. Social Presence and Dev Wallet

A memecoin without a social presence is a ghost. But a social presence without substance is a trap.

  • Check the Telegram or Discord. Is there actual discussion, or just price shilling and spam bots?
  • Look at the dev wallet on GMGN. Does the dev have a history of launching coins that rugged? Run their address through the explorer.
  • Does the project have a simple, honest website or just a meme page? Overly complex roadmaps are lies.

5. Trading History (The GMGN Chart)

Pull up the chart on GMGN. Look for:

  • Rapid price spikes followed by long flat periods — classic distribution pattern.
  • High sell volume from early wallets within the first hour. If the first buyers are dumping, you should not be buying.
  • Is the chart climbing steadily on organic volume, or is it a single pump from a KOL tweet? The latter fades fast.

6. Your Own Risk Budget

Before you hit swap, ask: Can I lose 100% of this money without changing my life?

  • Never bet more than 1-2% of your trading capital on a single memecoin.
  • If you are feeling FOMO, that is your cue to skip. FOMO is a loss signal.
  • Write down the amount before you click. If you hesitate, the amount is too high.

7. Exit Plan (Before You Enter)

Decide in advance:

  • What price will you take partial profits? (e.g., 2x, 5x, 10x)
  • What price will you cut losses? (e.g., -40%, -50%)
  • Will you sell everything at your target, or scale out?

Write it down. Stick to it. Do not adjust because the chart looks different in the moment. Your checklist is your commander.

Build the Habit

A checklist is useless if you ignore it when the green candles start. Print it. Tape it next to your monitor. Run it every time. The traders who follow this process are the ones who survive the bear and compound in the bull. Everyone else is noise.

Memecoins are extremely high risk. Most go to zero. This checklist does not change that — it just makes you aware of the risks before you take them.

Community

Stay connected across the chains:

Charts and on-chain research: https://gmgn.uk.