Every time you farm drops, swap tokens on a DEX, or buy an NFT, you sign a transaction called “Approve” (authorization to use coins). But few people know that many projects ask for Unlimited Approve — unlimited access to your tokens.
If this dApp is hacked tomorrow or the project turns out to be a scam (Rug Pull), hackers can completely drain this token from your wallet. Even if the coins are just sitting there and you don’t touch anything.