Occasionally, you may encounter a token that seems impossible to sell or swap. While this can be frustrating, there are a few common reasons why this happens. This article helps you diagnose potential issues.
1. The token is a honeypot
A honeypot token is designed so you can buy it, but cannot sell it. These tokens often lure buyers with the promise of high returns or new, exciting features, only to prevent selling once you’ve invested.
How to spot a honeypot: Extreme hype with little transparency, suspicious or absent community channels, and contract rules that restrict sells.
What You Can Do: Unfortunately, if a token is a honeypot, there is no genuine way to sell it. Your best defense is thorough research before buying. Some users rely on third-party “honeypot scanners” or audits to flag malicious contract behavior, but these are not always reliable—tokens can have hidden logic or be upgraded after scanning. Always exercise caution with new or unverified tokens.
2. Low or zero liquidity
If a token’s liquidity pool is extremely small or nearly empty, you may not be able to sell:
Why It Happens: When the pool lacks enough funds to buy your tokens, trades can fail. Even if a token was initially liquid, liquidity can dry up if major holders withdraw liquidity or the market interest collapses.
Possible Actions: Try trading a smaller amount, try increasing your slippage tolerance, or wait for the project’s liquidity to improve. If liquidity remains extremely low, no amount of slippage will help, as there simply aren’t enough buyers or tokens in the pool to fill your order. If there’s at least some liquidity, increasing your slippage tolerance might allow the price to move enough to complete a small trade. Ultimately, however, if overall liquidity is lacking, you may still be stuck holding the token.
3. Tax tokens
Some tokens incorporate high “taxes” or fees in their smart contracts, which can lead to failed or incomplete transactions if your slippage tolerance is too low. For example, if a token has a 5% sales tax, but your tolerance is only 1%, your transaction will fail because it doesn’t cover the full tax. In such cases, raising your slippage setting can help.
Symptoms: You consistently experience transaction failures, especially on tokens with complicated contract rules.
Suggestions: Consider increasing your slippage tolerance in the Slingshot swap settings. Keep in mind that a higher slippage setting can lead to receiving fewer tokens or less value.
4. Contract restrictions or editable contracts
Certain tokens allow the contract owner to enable or disable selling, impose high taxes (99% sales tax), or update contract rules without warning. This can make it challenging or impossible to sell.
Warning Signs: The token code is upgradeable without time locks, or the project’s owners have a reputation for unexpected contract changes.
Best Practice: Always review the token’s contract on a block explorer or rely on trusted third-party audits.
5. Network congestion
Sometimes, network congestion or elevated fees can disrupt trades:
Short-Lived Problem: If the network is momentarily congested, your trade might fail to execute in time.
Solution: Wait for network conditions to stabilize.
6. Market volatility
In highly volatile markets, the token’s price may swing more than your slippage tolerance, causing repeated failures:
Example: If your slippage tolerance is 3% but the token’s price is moving 10% in a short time, the trade will fail.
Possible Fix: Temporarily raise your slippage tolerance to accommodate bigger price swings, or wait until the market stabilizes.
Key tips to avoid these situations
Research Before Buying: Always check the token’s liquidity, contract, and reputation.
Be Cautious of “Too Good to Be True” Projects: Aggressive marketing often hides potential honeypots.
Check Slippage Tolerance: If you see consistent swap failures, high taxes or fees—and possibly high volatility—may require a higher slippage.
Use Third-Party Tools: Apps like Dextools, Dexscreener, or honeypot scanners can help you flag suspicious tokens, but they’re not always 100% reliable. Contracts can still be upgraded or contain hidden logic that bypasses these scans.
Need more help?
For further assistance or troubleshooting, click on the chat bubble at the bottom right of this screen, or from within the app, under Profile → Settings → Help Center → Contact Support.