How to avoid cryptocurrency scams?



kishore senthil

10 months ago | 5 min read

Scammers are always looking for ways to steal money from you using cryptocurrency. Here are some things to know to avoid a cryptocurrency scam. Only scammers demand cryptocurrency payments. No legitimate business is going to require you to send cryptocurrency up front, either to buy something or to protect your money. That is always a scam. Only scammers will guarantee you profit or high returns. Do not trust people who promise you that you can make money quickly and easily in the cryptocurrency market.


Never mix online dating with investment advice. If you meet someone on a dating site or app, and then want to teach them how to invest in cryptocurrency, or ask them to send you cryptocurrency, it's a scam.


Spot cryptocurrency scams


Scammers are using the same tried and true tactics, only now they are demanding payment in cryptocurrency. Investment scams are one of the main ways scammers use to trick you into buying cryptocurrency and sending it to scammers. But scammers are also posing as representatives of businesses, government agencies, romantic relationships, and other tactics.


investment scams


Investment scams often promise you that you can "make big money" with "zero risk," and these scams often start on social media or dating apps or sites. Of course these scams also start with a text, email or call. And in investment scams, cryptocurrency plays a central role in two ways: it can be both for investment and for payment.


Here are some of the common investment scams and how to spot them.


A so-called “investment manager” contacts you unexpectedly. It promises to multiply your money, but only if you buy cryptocurrency and transfer it to your online account. The investment website you are directed to looks real, but it is really fake, just like its promises. If you log into your “investment account”, you won't be able to withdraw your money at all, or you will only be able to do so if you pay high fees.


A scammer poses as a celebrity who can multiply the cryptocurrency you send them.  He's a scammer. And if you click on an unexpected link sent to you or send cryptocurrency to a supposed celebrity's QR code, that money goes straight into a scammer's pocket and is gone.


A virtual “crush” wants you to send him money or cryptocurrency to help him invest. It is a scam. As soon as someone you meet on a dating site or app asks you for money, or offers investment advice, you know they're a scammer.  If you send him cryptocurrency, or any other form of money, it's gone, and you usually won't get it back.

Scammers guarantee you will make money or promise guaranteed high returns. No one can give you those guarantees. And when it comes to cryptocurrency investing, there is no such thing as “low risk”. Dapp development company So if a company or person promises you a profit, it's a scam. Scammers promise free money . They will promise free cash or cryptocurrency, but the promises of free money are always false.


Scammers make big claims without details or explanations. Whatever the investment, find out how it works and ask where your money will go. Honest investment managers or advisors will be willing to share that information and back it up with details.

Before investing in cryptocurrencies, do an online search by entering the name of the company or person and the name of the cryptocurrency and adding words like “review”, “scam” or “complaint”; If you do the search in Spanish, replace those words with “comment”, “stafa” or “queja”. Read the opinions of other people. 


Business impersonators, government agencies, and job seekers


In a scam carried out by people posing as business representatives, government agencies or job seekers, the scammer pretends to be someone you trust in order to convince you to send you money by buying and sending cryptocurrency.


Scammers pose as well-known companies. This comes in waves, depending on the moment, and scammers might say they work for Amazon, Microsoft, FedEx, your bank, or something else. This type of scammer will send you a text, email, or communicate by phone or through social media messaging, or perhaps put a pop-up alert on your computer. They might tell you that fraud has occurred on your account, or that your money is at risk, and that to fix the problem, you need to buy cryptocurrency and send it to them. But that's a scam. If you click on a link in a message, answer the call, or call the number in the pop-up window, you will be contacting a scammer.


Scammers pose as representatives of new or established businesses offering fraudulent crypto coins and tokens. To back up this argument and trick people into buying that coin, they could post social media ads, newspaper articles, or set up a fancy website. But those coins and crypto tokens are a scam that ends up stealing money from the people who buy them.  If true, it will be widely reported by the established media.


Scammers pose as representatives of government agencies, law enforcement, or utility companies. These scam artists may tell you that there is a legal problem, that you owe money, or that your accounts or benefits have been frozen as a result of an investigation. They tell you to fix the problem or protect your money by buying cryptocurrency. They may tell you to send them to a certain wallet or virtual wallet address for “protection and safekeeping”. Defi Development There have even been a few cases where scammers stay on the phone directing a person to a cryptocurrency ATM and giving them step-by-step instructions on how to insert the money and convert it into cryptocurrency. They then tell you to send the cryptocurrency by scanning a certain QR code, through which the payment is sent directly to the scammer's virtual wallet, and then disappears.

Scammers post fake jobs on employment websites. They might even send unsolicited cryptocurrency-related job offers to help recruit investors, sell or mine cryptocurrency, or help convert cash into cryptocurrency. Which is always, always, a scam.(After a short time, it will be discovered that the check was fake.) They will tell you to withdraw a portion of that money, use it to buy crypto for a made-up “customer,” and send the crypto to an account they tell you. But if you do, the money will disappear, and you will have to pay that money back to the bank.


To avoid impersonators from businesses, government agencies, and job offers, you need to know the following:


No legitimate business or government agency will ever send you an email, text, or post on social media asking for money. And they will never require you to buy cryptocurrency or pay with a virtual currency.

Never click on a link in an unexpected text or email message or through social media messages, even if it appears to be from a company you know.

Don't pay someone who unexpectedly contacts you and demands a payment in cryptocurrency.

Never pay a fee to get a job. If someone asks you to pay upfront to get a job or tells you to buy cryptocurrency as part of a job, it's a scam.

extortion scams


Scammers may send emails or correspondence through the US Postal Service claiming they have embarrassing or compromising photos, videos, or personal information about you. Then they threaten to make them public unless you pay them with a cryptocurrency. Do not do it.  Report the incident immediately to the FBI .


How to report cryptocurrency scams

Report fraud and other suspicious activity involving cryptocurrency to:


The FTC at .

The Commodity Forward Trading Commission (CFTC) at .

The US Securities and Exchange Commission (SEC) at .

The center that receives complaints about crimes committed on the Internet called the Crime Complaint Center (IC3) available at .

The cryptocurrency exchange company you used to send the money.


Created by

kishore senthil

At BlockchainX tech, we help startups, medium-sized enterprises, and large-sized businesses by providing end-to-end blockchain development services such as token creation, token sale distribution, landing page design, whitepaper writing, and smart contract creation. As your business idea is unique your cryptocurrency launch process will also be one of a kind. Our blockchain experts help you analyze your concept to make sure that your idea is effective enough to motivate people for funding. Our experience so far in ICO and blockchain development is unmatched and it allows us to provide stable cryptocurrency solutions that are tailor-made to match your business requirements. Raise your Initial Coin Offering with minimal steps and get professional guidance from our team of blockchain and cryptocurrency experts.







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