Cryptocurrency Scams: What You Should Know


Cryptocurrency scams have become too common due to their ease of transaction, anonymity and wallet creation. Read this article to learn what are the most common red flags for these scams and how you can protect yourself from them.

Cryptocurrencies were once the subject of black market deals and the dark web. Now it is a more recognized and reliable form of currency. Unfortunately, anything that involves money is subject to predatory practices and scammers. Fortunately, there are a few ways to recognize these scams before they become a very costly problem.

Know Your Platform


No matter which platform you choose, you should know the company behind it. Choose a company that offers information, reliability, transparency, and security. Platforms like OKX offer things like customer support and clear terms of service. Making the right choice of platform can keep your funds safe.

Be Wary of Promises


No platform or exchange can guarantee results. Much like the stock market, cryptocurrency fluctuates. If a company guarantees returns on your investment, you should be very wary. These companies usually try to scam people into spending their money on an investment that will never pay out. 

Do Not Spend Cryptocurrency in Advance


This is one very big, very real drawback to using cryptocurrency. Most companies that charge cryptocurrency in advance offer no guarantee that you will ever receive something in exchange. They can take your money and disappear quickly and quietly.
 

Know How To Verify Claims


It is probably a scam if you receive a message from a government agency asking you to pay in cryptocurrency or any other currency. Take a look at where the message came from. Usually, there is something wrong with the email address or phone number. Remember that government agencies and legitimate companies do not normally email or text without your prior request. 

A request for cryptocurrency paid to a company or government agency is almost always suspect. These messages can appear as texts, emails, and ads on Craigslist and other websites. Unless you specifically ask if an agency or business accepts cryptocurrency, do not trust those that state it.

Call the number listed under customer service on the actual website. Do not call the number on the message. You can always call the company or agency directly by looking up their numbers elsewhere.

Be Aware of Dating, Job, and Real Estate Scams


A job that asks you to pay in advance for anything or a dating site that asks you to give them cryptocurrency is almost always a scam. These also usually make guarantees of employment or finding love. Real estate companies that offer you a place to purchase or rent for cryptocurrency are also suspect. You should report these immediately.

Be Generally Aware of Common Scams


There are many scammers out there who are doing better because of cryptocurrency. These include:
Any business that guarantees results, demands cryptocurrency, or sounds too good to be true, is probably a scam. 

Although it would be nice to assume that everyone has your best intentions in mind, it is important to remember that many people will attempt to scam you. You have no way to get your money back if you pay in cryptocurrency. Being aware of scams makes you less likely to fall victim to them.


Comments

No responses found. Be the first to comment...


  • Do not include your name, "with regards" etc in the comment. Write detailed comment, relevant to the topic.
  • No HTML formatting and links to other web sites are allowed.
  • This is a strictly moderated site. Absolutely no spam allowed.
  • Name:
    Email: