How To Spot Crypto Currency Scam

How To Spot Crypto Currency Scam

The Confident in his ability to find even the most demonic, sophisticated, or even mundane scams that promise moderate wins rather than millions. After all, the history of money is the history of malicious individuals and organizations trying to get as much money as they need. Can anyone say “subprime mortgage crisis”? Cryptocurrencies are high tech, but the old maxim still applies: if something sounds too good to be true, it’s probably. we’ll focus on the many common and less common scams that are prevalent in the cryptocurrency world to protect you and your hard-earned assets. Crypto currency scam recovery could be done easily with growing in technology.

Initial Coin Offering Scam

Initial coin offerings (ICOs) are a key element of the crypto ecosystem, providing investors with a strategic opportunity to stand on the ground floor of a particular asset while crypto start-ups launch coins and tokens. We will be able to secure the necessary funds for this. However, considering that it requires a considerable amount of money and it is relatively easy to create cryptocurrency tokens using Ethereum, this process attracts a considerable number of scammers.

The structure of an ICO scam is usually very simple:

1) token creation,

2) exaggeration of false or misleading claims,

3) provision of limited or opaque information, and finally

4) funding around it. Redirect to for other purposes.

Peer-To-Peer Transactions

Peer-to-Peer transactions often remove the intermediary (in the case of crypto, the exchange platform) from the trading equation, allowing you to buy and sell crypto directly. This approach doesn’t have any fundamental problems, but it does provide some openness and is more likely to be the prey of fraudsters by mistake. There are many clever tricks scammers can use to trick unprotected traders on peer-to-peer trading platforms, such as mixing dots and commas (2,900 vs. 2,900, etc.), using ghost platforms, spoofing chargeback’s and man-in-the-middle attacks, etc.

Phishing Scam

This is a classic phishing scam where the sender tries to trick you into revealing your personal information. This personal information may be used to endanger your financial account or personal identity. The crypto space is full of phishing scams.

CLONE SITES: It work on the same principle. It looks the same, but it’s a completely fake site. Fraudsters get a legitimate website and duplicate it in the hope that unsuspecting traders will not be able to tell the difference before entering and uploading their personal information. Hello, I’m an account administrator for XYZ Coin. For added security, you should check your account details and reset your password. For your security and convenience, we can do this via email in just a few minutes.

Advancement Of Crypto Scam

Due diligence is the call of the sport here. Begin with Google and social media and maintain digging, paying near interest to conflicting or loss of information. Feasibility, verifiable information, and transparency, on the opposite hand, ought to function self belief boosters. Crypto buying and selling is a marathon, now no longer a sprint. The quickest manner to lose cash is questioning that you`re going to make a variety of cash quickly.

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Cloud Mining Scam

If geothermal energy is not available (yes, Icelandic readers), mining cryptocurrencies could lead to a loan to pay utility bills. A company, Mining Max, saw an opportunity to scam investors and set up a Pyramid scheme to carry out the scam. However, South Korean officials have discovered fraud and more than 20 office workers accused of “embezzling about $ 250 million from 18,000 investors in 54 countries, including the United States, South Korea, China and Japan.” Was charged.

Fake Qr Code Generators

In March 2020, the crypto world was bustling with stories about a network of fake QR code generators stealing Bitcoin from people. For example, security solution provider Sophism warns: Instead, they pointed to the attacker’s own address. Therefore, if someone uses the QR code as a payment address, the person who sent Bitcoin will be sending it to the attacker’s account instead of their own account.

Vishing Scam

Voice phishing is like phishing.While voice phishing is phone phishing, scammers can use high-tech techniques such as automated voice simulators to collect information that may have been leaked on the dark web. “The hacker disguised his identity and transferred his phone number from T-Mobile to a provider called Bandwidth, which was linked to the hacker’s Google Voice account. scamming done by voice.


One of the easiest ways to assess the authenticity of a crypto project is to look at the core team behind the project. It is available on the official website of this project. “Most real projects list core team members and LinkedIn profile details. It’s trivial, but with this simple step, a FOMO built around such a random project in particular. With it, you don’t have to dive into a shaded project. Reclaim My Losses is leading fund recovery service company helps in reclaiming back the lost funds from the scammers.