{"id":76413,"date":"2022-11-28T11:05:05","date_gmt":"2022-11-28T11:05:05","guid":{"rendered":"https:\/\/businessyield.com\/?p=76413"},"modified":"2023-03-21T13:31:54","modified_gmt":"2023-03-21T13:31:54","slug":"the-scams-and-shams-of-crypto-what-they-are-and-how-to-avoid-them","status":"publish","type":"post","link":"https:\/\/businessyield.com\/cryptocurrency\/the-scams-and-shams-of-crypto-what-they-are-and-how-to-avoid-them\/","title":{"rendered":"THE SCAMS AND SHAMS OF CRYPTO: What They Are and How to Avoid Them","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"

As you slowly get involved with digital currencies, it doesn\u2019t take long until you discover that the risks involved with investing in crypto can be enormous. And it\u2019s not just about the high volatility rate of crypto, we\u2019re talking about scams, fraud, hackers, and more, and cryptocurrency exchange platforms are no different. <\/p>

So when you\u2019re looking into crypto companies and startups, it\u2019s highly recommended that you confirm their legitimacy if the technology they\u2019re offering is blockchain-powered, which could mean that they track transaction data in detail. If you\u2019re choosing a particular crypto company or startup, think about your decision and help you with that; here are some common crypto scams and how to avoid them. <\/p>

\"\"\/<\/figure>

Of course, to avoid always being on edge, you need to register with a reliable tool or platform like binance.com<\/a>, or www.bitcoin-profit.app<\/a>.<\/p>

Examples of Crypto Scams and How to Avoid Them<\/span><\/h2>
\"\"\/<\/figure>

Despite coming into the new decade of technological advancements, people are still finding new innovative ways to make the lives of millions more convenient; however, the same goes for the ones who want to do bad things. <\/p>

And in the case of digital currencies, hackers and scammers are finding new and innovative ways to steal all of your money through cryptocurrency. One thing\u2019s for sure, the most common scam out in the market right now is when someone says you have to pay with cryptocurrency.<\/p>

What the scammers are counting on is when they ask you to pay for their \u201cservices,\u201d they will tell you to pay by either wire transfer, gift card, or cryptos; of course, once you pay, there\u2019s no other way to get it back as due to how the technology is unregulated, there is no insurance on the assets. Below is a list of some digital currency scams you should look out for.<\/p>

#1. Business and Investment Opportunity Scams<\/h2>

One of the first things to look out for is business and investment opportunity scams<\/a>; they are quite common, as some companies promise significant returns quickly to give you the financial freedom you desire. Moreover, some scammers would tell you that to have the right to recruit others for the program, you have to pay with cryptocurrencies, and the more crypto you pay, the more money the company promises you\u2019ll make.<\/p>

With business and investment opportunities, some scammers that act as the company\u2019s \u201cinvestment managers\u201d will give you unsolicited offers. These scammers will deliberately misinform you that they can help your money grow if you give your crypto to them. <\/p>

And once you try to access the investment account that they\u2019ve created for you, you\u2019ll find out immediately that for you to withdraw your money, you would have to pay fees, and it will cost you. Furthermore, some scammers in the same industry would send job offers that would let you help them recruit some investors of digital currencies, as well as mine, sell, or trade crypto, promising you a job but taking your info and money.<\/p>

#2. Blackmail Emails<\/h2>

Another thing to look out for to avoid being scammed by crypto frauds is by avoiding their emails that come in the form of blackmail. Scammers will take advantage if you carelessly put your private information online, especially on social media. However, scammers out there would send suspicious emails stating that they have compromising or embarrassing photos of you or have personal information that you only know about, so they will use it as leverage to acquire crypto from you.<\/p>

#3. Social Media Scams<\/h2>
\"\"\/<\/figure>

Regarding crypto scams in social media platforms<\/a>, if you read a post, tweet, email, or receive a text message that tells you to send them crypto with a promise of getting more in return, there\u2019s a high chance that it\u2019s a scam. Even if the message you\u2019ve received came from a person you know or a celebrity you adore, there\u2019s a chance it\u2019s still a scam. So don\u2019t ever trust anything in social media unless there\u2019s legitimate research to back it up, saying that it\u2019s true.<\/p>

#4. Social Engineering Scams<\/h2>

Another type of crypto-related scam to look out for is social engineering scams, which manipulate a target psychologically through deception to gain important information relating to the target\u2019s accounts. This is one of the most dangerous crypto scams, as the scammers let people think they are dealing with a reputable business, an established government, tech support, and sometimes your friend. Regardless of whether trusted connections would ask for you to pay with crypto for any reason, it\u2019s highly likely that it\u2019s a sign of a scam. <\/p>

#5. Giveaway and Impostor Scams<\/h2>

Moving to the domain of social media influence, there are many scammers out there trying to pose as reputable cryptocurrency influencers, well-established business people, or celebrities. These are to easily capture the attention of potential targets, many of which promise to multiply or match the digital currencies the victims have sent to them in what’s known as a giveaway scam. <\/p>

Furthermore, a well-crafted message from a scammer\u2019s seemingly legit social media account can sometimes create some sort of credibility for what they are disclosing as a giveaway. With that in mind, people tend to see it as a \u201conce in a lifetime\u201d opportunity, which could lead the victims to immediately transfer cryptocurrency funds in hopes of instantly receiving more than what they paid in return. Reports show that more than 2 million dollars worth of crypto has been transferred to a scammer who poses as Elon Musk.<\/p>

The Bottom Line<\/span><\/h2>

For many people who\u2019ve encountered stories, news, and social media posts about how the crypto market is booming, it may revoke the feelings of speculators towards the technology. As the economic system of digital currencies continues to grow, it\u2019s no doubt that the crypto market will be the main focus of scammers and fraudsters. <\/p>

Regardless, cryptocurrency scams generally fall into two categories: socially engineered scams that aim to obtain private or security information to be used as leverage and having someone send crypto to a particular digital wallet that\u2019s already compromised. <\/p>

So by knowing and understanding how crypto scammers try to steal your info and, ultimately, your money, you will know if what you’re experiencing is a crypto-related scam; thus, you\u2019ll be able to stop it before anything happens to you and your money.<\/p>","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"excerpt":{"rendered":"As you slowly get involved with digital currencies, it doesn\u2019t take long until you discover that the risks…\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"author":79,"featured_media":76426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[4287],"tags":[],"class_list":{"0":"post-76413","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-cryptocurrency"},"jetpack_publicize_connections":[],"yoast_head":"\nTHE SCAMS AND SHAMS OF CRYPTO: What They Are and How to Avoid Them<\/title>\n<meta name=\"description\" content=\"People are continually finding new methods to make millions of people's lives easier in the new 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