Blockchain security firm Hacken recorded $1.18 billion in crypto theft in the third quarter of 2026, a 55% increase quarter-on-quarter, as BitKE reported. Most of those losses stemmed from exploited smart contracts and access-control failures at platforms.

Yet not every loss begins with a hack. For newly launched tokens, some of the most significant risks are written into the token itself, in settings that are public and inspectable before any purchase. On Solana, buyers can examine them within minutes using a block explorer such as Solscan or Solana Explorer.

Here are five checks worth running before purchasing a new token.

1. Check the mint authority. Look up the token's mint address and locate the mint authority field. If it displays an address, that account can create new tokens at any time, diluting everyone who already holds them with supply that did not exist when they bought. If the field is empty, the supply is fixed.

2. Check the freeze authority. This field works the same way. If it is set, the issuer can freeze the token in any holder's account, including yours, leaving the tokens in the wallet but unable to be moved. Regulated issuers may retain it for compliance reasons, but for a new community or meme token it is a red flag.

3. Review the holders list. If a handful of wallets control most of the supply, a few sales can crash the price. The largest holder is often the liquidity pool itself, so identify which addresses belong to the pool before drawing conclusions. Explorers rank holder addresses by balance, so the concentration is visible at a glance.

4. Assess liquidity. A token is only as tradable as its liquidity. Check where it trades and whether the liquidity provider (LP) tokens have been burned or locked. If the creator can withdraw the pool — an event commonly called a rug pull — buyers can be left holding a token nobody can sell.

5. Verify the token is genuine. Copycat tokens reuse popular names, symbols, and logos. Always confirm the mint address through the project's official website or social channels, never through a link in a direct message. Also check the update authority: if it is still active, the name and logo can be changed later.

Teams that want to be trusted typically switch these powers off at launch, and tools such as JTools have made that a simple choice. With its Token Creator, teams can revoke the mint, freeze, and update authorities while creating the token, so buyers can the decision on-chain from day one. Solana's official token documentation explains each of these settings in more detail.

Passing all five checks does not make a token a good investment. It only removes some of the easiest ways to lose money. And because quarterly figures like Hacken's are compiled after losses occur, on-chain checks are the verification a buyer can run at the moment of purchase. Do your own research, and never share your seed phrase with anyone.

This article is for educational purposes only and is not investment advice.

This is a sponsored post.